Petrol: Rewarding consumer loyalty? Or should we subsidise 4x4 ownership?
Why should someone who has to drive 40 miles to work pay the same price for petrol as someone who only does a couple of school runs a few miles down the road? The answer is they shouldn't.
Petrol should be treated any other product and the government like an other consumer good company. Consumer loyalty is a massive thing in the world of supermarkets for example, and this loyalty is rewarded heavily. This should be the case for petrol and the only way that can really be done is through a new pricing model.
In essence, the technology is there to enable authorities to determine an individual's petrol usage. Those who don't use much petrol should pay more per litre than someone who uses a lot of it. Obviously this couldn't be applied to the likes of disabled drivers or those stuck out in the sticks, and no doubt a few more exceptions. That doesn't mean people who drive more pay less than the current price of petrol, just that those who don't use as much should pay more than the current price of petrol.
If maximising tax revenues is the aim of the petrol question then why not subsidise 4x4 ownership? Get more people driving 4x4s and the injection of tax from petrol will rise.
Makes me think that tackling road congestion, for environmental reasons or other, isn't a big issue for this or any government. Just think how much less tax revenue from petrol we'd have if we'd all use 1/2 a litre less petrol per day!



No comments: