Feebate and Scrappage Policy Instruments - Environmental and Economic Impacts for the EU27

This report presents the results and conclusions of a research carried out by the JRC/IPTS analysing two demand-side measures that can help improving the environmental performance of cars: The first instrument, the feebate system, is a way to differentiate the registration tax according to the CO2 emissions from cars. The second instrument, the scrappage policy is intended to encourage the owners of old cars to scrap their car earlier. The potential and consequences of technical options to reduce car weight are also analysed. The report builds a comprehensive assessment of these policy options at EU level, covering all major environmental life cycle impacts and the different economic impacts. The report is built upon IPTS research work, supported with a study subcontracted to a research consortium led by Transport&Mobility Leuven (TML) and involving Öko-Institut and ISI-Fraunhofer.