This is the second part of a series of posts I’m writing about the Green Budget Reform project from Slovenia. You may want to read the first post before getting into this one.
When we have started to work on the GBR project, my first task was to describe the status quo of this reform in Slovenia. I’ll try to explain about this now and provide some numbers on the way (disclaimer: most of these statistics are accurate, but the content that wasn’t published wasn’t reviewed – there could be mistakes!).
In 2011, the share of eco taxes in Slovenian GDP was the third – highest in Europe, lagging only behind Denmark and the Netherlands. This share was 3,6 % (EU average was 2,8 %). Slovenia also ranked above average in pollution and natural resource tax GDP share (Slovenia – 0,15 %, EU – 0,10 %) and in the share of excise duty in eco tax (Slovenia – 90%, EU – 95 %).
These are very impressive statistics for Slovenia, but unfortunately they do not tell the whole story. Slovenia was (and still is) very inefficient in fossil fuel usage, consuming roughly three times more per capita than Denmark. If excise on fossil fuels wasn’t accounted for as an eco-tax, Slovenia’s position would probably drop significantly.
Structure and revenue from eco-taxes in Slovenia for 2010:
|Structure and revenue from eco taxes in Slovenia for 2010 (in millions of €)|
|Pollution and natural resource use tax||37.9M €||3,42%||State||5M €|
|Energy taxes||987.7M €||89,19%||CO2 emissions||31.1M €|
|Transport taxes||81.8M €||7,39%||Motor veichle tax||40.9M €|
|Road use tax||40.9M €|
After gathering some knowledge (and talking to Jonas) about the GBR in Slovenia my initial conclusions were:
- We are on the right path and implementing some very good measures, but in most cases these taxes are too low to make a real impact.
- A priority for Slovenia must be dealing with EHS (Environmentally harmful subsidies).
- There are very strong lobbies present that make achieving progress in some areas very challenging.
The resource that had helped me the most is a master’s thesis that focuses on Slovenian Green taxes by Kaja Erjavec (Economical faculty of University in Ljubljana). A PDF is available for free here. In my opinion it’s a great entry point for anybody who wants to learn about eco taxes in Slovenia.