3FOOD

Third Industrial Revolution Consulting Group
the promotion of shared spaces (cf. shared space best practice in Bertrange) and car free
areas in districts during specific hours and around dedicated spaces like schools as well as
through the installation of parking spaces at the periphery of the district with a high share
of parking slots reserved for EV or shared cars.
- Foster car sharing and pooling with dedicated facilities (drop-off areas, reserved parking
slots).
- Encourage e-mobility through reserved parking slots and compulsory charging stations in
all new urban projects with a strong focus on multimodal hubs.
- Prepare for shared AV deployment – traffic lanes reserved for public transport should be
opened and adapted to automated group transit vehicles, if capacity is available.
4.4 Financial
4.4.1 Fiscal policies: Internalization of externalities.
The main external costs of transportation are: public health costs due to a lack of physical
activity, space use, pollution, generation of GHG, accidents and depletion of non-renewable
resources. Each of these can be taxed, and the revenues will replace the external costs, which
are, by all means, wasted resources. The revenue from externality taxation can be used to
improve the sustainable mobility system. This will provide clear and visible proof that the
taxation serves the purpose of improving the mobility systems alternative to the private car. In
particular, we suggest that:
Space occupation can be taxed through parking fees and urban access fees.
Pollution, GHG emissions and depletion of non-renewable resources can be taxed
through a combined tax scheme: per-km car use fees, and taxation on fuel, taxation
dependent on emissions.
Accidents are more difficult to tax directly, since the taxation should address “risk”
and not the actual occurrence of a crash. For this reason, the external cost of
accidents is better addressed by regulatory measures. However, it must be clear that
the cost of crashes is a high component of the external costs of mobility, and
therefore, the “internalization of externalities” should be addressed in an operational
plan.
In 2013, environmental taxes in Luxembourg amounted to 2.15% of GDP (the lowest since
2000) – below the average of EU-28 levels (EU, January 2016). The 92.6% of the total is
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