Energy: Alternative fuels and propulsion in Germany

The objective set by the European directive of May 8, 2003, is to reach, by 2010, a proportion of 5,75% of biofuels on the market. The new European Commissioner in charge of agriculture has also strongly encouraged Germany to develop alternative fuels, in particular with a view to liberalizing the agricultural market within the framework of the WTO.

In this context, the German Government has undertaken several measures:

- In order to encourage petroleum groups to mix conventional fuels / biofuels, the government has completely tax-exempted until 2020 the share of biofuels in these mixtures. The German objective is to achieve, by 2012, 10% of biofuels in total consumption.

- Chancellor Gerhard Schroder, Federal Minister of Finance Hans Eichel and Minister of the Environment Jurgen Trittin have agreed to provide fiscal support from 2006 to diesel vehicles fitted with particulate filters. It must end on January 1, 2008, date
which all new diesel vehicles will be produced filters teams has particles.

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