Posts Tagged ‘vehicle prices’

Taxi project launched in Gauteng for taxis to go green

Written on April 10th, 2011 by jonckie@arrivealive.co.za
Categories: Car Insurance Advice, Car Repairs, Car Statistics

jburg gees 3 The Gauteng government, in partnership with the taxi industry, has launched a R3m pilot project that will see 70 taxis operate on dual-fuel in an attempt to reduce carbon emissions.

Taxis from northern Pretoria and the East Rand township of Tembisa would operate on liquified petroleum gas (LPG) and petrol, the Gauteng economic development department said on Friday.

MEC Qedani Mahlangu hailed the initiative as a positive development towards achieving the objectives of Green economy.

“I would like to applaud Sasol for their support of this initiative and investing an additional R1.2m in refuelling infrastructure to date. This project has the potential to significantly advance our objective to create a low-carbon economy.

“South Africa’s most recent Country Report to the United Nations Commission on Sustainable Development noted with concern our over-reliance on dirty energy,” she said.

Spokesman in her department Mandla Sidu said strategic relationships were established with the SA National Taxi Association Council, the SA National Energy Research Institute and Sasol.

After a robust vehicle selection process, seventy mini-bus taxis were converted to operate dually on petrol as well as LPG over a three-month period. An LPG vehicle conversion specialist was appointed to conduct the conversion process, he said.

“The project findings show an 11% reduction on the carbon dioxide, levels when switching the vehicles to LPG, which is one of the internationally recognised alternative energy sources that have a reduced harmful impact on the environment.

“More significantly, the tests show a massive reduction by 31% on the carbon monoxide (CO) levels, which is the harmful gas which can cause various forms of cancer. With the taxi industry transporting more than 14 million people daily, replication and expansion of the LPG conversion project will be of considerable advantage to the provincial and national government’s environmental management.”

In terms of fuel efficiency, the Automotive Industry Development Centre (Blue IQs automotive subsidiaries) showed that although the overall fuel consumption was higher on LPG, the lower cost of LPG balances out the effect of fuel costs for the minibus taxi driver.

The cost benefits also include improved longevity of the engine and a reduction of overall maintenance costs over the lifespan of the vehicle. Vehicle performance remained unchanged.

About 150 converted taxis were expected to be rolled out in the next 12 months.

More LPG refuelling stations are expected across Gauteng in order to support this growing fleet of “green” minibus taxis.

The project has received endorsement from the National Minister of Transport, Sibusiso Ndebele, who has also requested a briefing on the outcomes of the pilot project.-Sapa

CO2 and Car Insurance

Also view:

CO2 Emissions , Green House Gases and Car Insurance

Share and Enjoy:

Tags: carbon tax, CO2 emissions, double cabs, environment, Gauteng taxi project, green tax, Treasury, vehicle prices
Posted in Car Insurance Advice, Car Repairs, Car Statistics | 1 Comment »

Insurer untertakes to include CO2 Emissions Tax in the settlement of total loss claims on new motor vehicles

Written on November 25th, 2010 by jonckie@arrivealive.co.za
Categories: Car Insurance Advice, Car Insurance Benefits, Cheaper car insurance, General Information

car-blog co2 Short-term insurer Mutual & Federal says it will include the new CO2 Emissions Tax (carbon tax) in the settlement of total loss claims on new motor vehicles, provided you have insured your vehicle for the appropriate value.

“The move means drivers won’t have to dig deep for additional funds to cover the tax , which could be upwards of R20 000 for large cars, if their vehicles are written off or stolen,” the insurer says.

Several of its products, it adds, provide for full replacement value of passenger and light commercial vehicles if they are less than a year old and have fewer than 30 000km on the clock.

“In view of the above, if their vehicles are less than 12 months old, it’s up to policyholders to ensure that the value of the tax is included in the value specified for insurance purposes,” Wayne Richards, Group Manager: Underwriting and Product Solutions says.

According to Richards, the Auto Dealers Guide, compiled by TransUnion and used by the insurance industry to establish the value of vehicles, will ultimately incorporate this tax in the reflected values of newer vehicles in much the same way that they include VAT.

“The values in the publication will soon be inclusive of tax, with no indication of what portion of the total value is made up of the new tax,” he says.

The CO2 Emissions Tax came into effect on 1 September 2010 for all passenger vehicles, and is set to kick in on 1 March 2011 for light commercial vehicles, excluding taxis, ambulances, hearses and other vehicles used for transportation of goods.

A government imposed levy on vehicles that emit CO2, has been set at R75 per gram per kilometre (/g/km) in excess of 120g/km for passenger vehicles and R100/g/km in excess of 175g/km for light commercial vehicles that emit CO2.

At present, the tax is only applicable to new vehicles. Carbon tax on a vehicle worth around R150 000 varies from about R750 to R2 000, depending on the amount of carbon emitted, while purchasers of high-end 4×4 petrol vehicles should prepare to pay as much as R25 000. “In terms of the provisions of motor insurance, the maximum amount payable for total loss events (theft or write-offs) is restricted to the amount stated in the policy schedule,” Richards says.

The onus is on the insured and brokers to ensure that the limit of indemnity of new vehicles purchased after 1 September is adequate, and that it includes provision for the CO2 Emissions Tax, accessories, and (if applicable) provision for credit shortfall. – I-Net Bridge

Advice:

It is to be expected that more insurers will follow the example of including provision for CO2 tax in policies. It will be up to every client to communicate with his insurer at the time of insuring his new vehicle and to decide whether this is a risk he might like to be covered for.

Also view:

Share and Enjoy:

Tags: carbon tax, CO2 emissions, double cabs, environment, green tax, Treasury, vehicle prices
Posted in Car Insurance Advice, Car Insurance Benefits, Cheaper car insurance, General Information | No Comments »

Treasury delays CO2 emissions tax on double cabs

Written on August 26th, 2010 by jonckie@arrivealive.co.za
Categories: Car Insurance Advice, Car Statistics, General Information

co2 Emissions tax on double cab vehicles will only be applied from March 1, 2011, the treasury said on Thursday.

“To allow manufacturers and importers sufficient time to test and determine the CO² vehicle emissions of all double cabs, the tax on double cabs will only be applied from March 1, 2011,” it said in a statement.

The decision followed a meeting between Finance Minister Pravin Gordhan on August 19 and CEOs of the seven motor vehicle manufacturers in South Africa, as well as a delegation from Business Unity SA.

“One of the industry’s concerns about the inclusion of light commercial vehicles was based on the fact that reliable data on CO² emissions by light commercial vehicles (including double cabs) was not available, and that there was no internationally applied test method to measure the emissions of light commercial vehicles.”

The treasury said that the National Regulator for Compulsory Specifications (NRCS) had, however, confirmed that its testing facility in East London measured CO² emissions for all vehicles tested there, including light commercial vehicles.

The industry responded that not all vehicles were tested at the NRCS facility.

The CO² emissions tax on passenger vehicles will come into effect next Wednesday.

The meeting also agreed on the need to expedite the availability of cleaner fuels in South Africa.

“Emerging economies such as China, Brazil and India have made significant progress with the introduction of cleaner fuels, which are especially necessary to help improve local air quality.”

The treasury said although cleaner fuels did not directly reduce CO² emissions, the need for cleaner fuels to improve fuel efficiency was important.

The meeting further agreed that industry and the treasury would encourage motor dealers to show the CO² vehicle emissions tax separately on invoices.

“Environmental taxes are based on ‘the polluter pays’ principle and they seek to influence and change behaviour. Transparency of the tax to the polluter is therefore important.”

[Sapa and Fin24.com]

Also view:

CO2 Vehicle Emissions Tax, Double Cabs and Car Insurance

How much is carbon emissions tax going to cost vehicle owners?

Share and Enjoy:

Tags: carbon tax, CO2 emissions, double cabs, environment, green tax, Treasury, vehicle prices
Posted in Car Insurance Advice, Car Statistics, General Information | No Comments »

How much is carbon emissions tax going to cost vehicle owners?

Written on August 24th, 2010 by jonckie@arrivealive.co.za
Categories: Car Insurance Advice, Car Statistics, Cheaper car insurance, General Information

car-blog co2 We have recently added a blog post titled “CO2 Vehicle Emissions Tax, Double Cabs and Car Insurance” This provided some important insights on the history behind the recent announcement by the Treasury on the CO2 emissions tax and especially the intention to include double cabs in the definition.

The new carbon emissions tax, due to come into effect from 1 September 2010. This tax will be levied on the purchase price of any new car sold on or after the above date, at a rate of R75 per gram of CO2 emitted per kilometre, over and above 120 g/km of CO2 emitted.

A very important component of car insurance is the vehicle that you drive – and perhaps more important the value of that vehicle – or the cost of the vehicle as an insurable interest!

When we are searching for cheaper car insurance – we should keep in mind that the value of the vehicle plays an important role in calculating the car insurance premium. The more expensive to replace and repair that vehicle – the more expensive the car insurance premium!!

So how will this CO2 emissions tax impact on the price of the vehicle to be insured?

I have come across an interesting story by Steven Jones on Moneyweb, and we would like to share some of his insights and especially the graphs quoted from Car Magazine. We would like to recognize as the source – CAR Magazine (August 2010 issue)

tabel1 tabel2 tabel3 tabel4