22 May 2008
Things are moving towards a tipping point over here.
Despite the almost incestuous relationship that Germans have with their cars, there'll come a time when there'll be a lemming-like rush away from personal transportation to public transport.
I have no idea when the pain-point will be reached, but if oil reaches $200 a barrel - forecast for this year - it can't be far away.
It's not actually the price of the core product that leverages the price at the pump - it's the draconian tax regime that's crept in over the years and given a kick up the bum by the Greens when they formed a coalition with the SPD back in the 1990s
With oil at its current price of $120 a barrel, tax makes up a good 60% of the pump price of €1.50 litre.
There's a flat tax (€0.67/litre - green), the oil companies' revenue (€0.59/litre - grey) and GST/VAT - a tax on a tax, ferchrissake....!(€0.24/litre - orange).
So even if the multis and sheiks were to give the stuff away for free, we'd still be paying €0.80 a litre. And if you're in the States and moaning about $4 a gallon, just don't!
It's close to 9 bucks over here.......
And it surprises you that we drive fuel-efficient cars over here.....?
Posted by John Burland at 09:46