DIRECTORATE-GENERAL FOR TRANSPORT-DG VII
TOWARDS FAIR AND EFFICIENT PRICING
POLICY OPTIONS FOR INTERNALISING THE
EXTERNAL COSTS OF TRANSPORT IN
THE EUROPEAN UNION
COMMUNICATION BY MR. NEIL KINNOCK
TO THE COMMISSION
Transport policy is at the cross-roads. Whilst the fundamental importance of adequate
transport facilities to modern societies and economies is generally recognised, concern about
increasing congestion, environmental consequences and accidents is mounting.
This insight has led to a review of transport policies in many Member States. Calls for debate
at the European level are intensifying and the Cannes Summit has asked that measures should
be taken to review policies to establish fairer competition between modes of transport.
As part of a comprehensive transport strategy, this Green Paper explores ways of making
transport pricing systems fairer and more efficient by giving users and manufacturers
incentives to adjust their transport behaviour. Various possible instruments are identified and
The Green Paper argues that fair and efficient pricing should constitute an essential
component of a transport policy strategy and can contribute significantly to reducing some of
the main transport problems (notably congestion, accidents and environmental problems). Its
objective is to launch a broad discussion on this issue.
It is proposed that the Commission :-
• approves the attached Green Paper;
• agrees to its communication to the European Parliament, the Council of
Ministers, the Economic and Social Committee and to the Committee of the
• agrees to its publication as a supplement to the EU bulletin.