Car Energy and CO2 labels launched

The Government has introduced changes to Vehicle Registration Tax (VRT) and annual motor tax for new cars registered on or after 1st July 2008. On and from that date, both taxes for new registered cars will be calculated on the basis of carbon dioxide (CO2) emissions from vehicles. Seven emission/tax bands have been created, and VRT and motor tax payable will be determined by the relevant band for each vehicle. The bands are shown in the table below:

The reason for these changes is to incentivise consumers to purchase vehicles with lower CO2 emissions, an important step in reducing national greenhouse gas emissions and in meeting Ireland’s commitments for the purposes of the Kyoto Protocol.

New VRT and Motor Tax Rates

Band CO2 Emissions (CO2g/km)VRTMotor Tax Rate
 A  0 - 120g  14%  €100
 B  More than 120g/km up to and including140g/km   16%  €150
 C  More than 140g/km up to and including 155g/km   20%  €290 
 D  More than 155g/km up to and including 170g/km   24%   €430 
 E  More than 170g/km up to and including 190g/km   28%  €600 
 F  More than 190g/km up to and including 225g/km   32%  €1,000 
 G  More than 225g/km  36%  €2,000 
Source: Department of Environment Heritage & Local Government,

The reason for these changes is to incentivise consumers to purchase vehicles with lower CO2 emissions, an important step in reducing national greenhouse gas emissions and in meeting Ireland’s commitments for the purposes of the Kyoto Protocol.

Following from the EU Directive 99/994 EC, and subsequent revisions, all New vehicles offered for sale in Ireland from July 1st should display an energy and emissions label.

A typical “A” rated label can be downloaded here.

Key elements of the new label

Section 1  of the label shows the seven emission bands and identifies the band for the particular vehicle to which a label is attached.

Section 2  of the label provides three important points of information for consumers:

· Rate of VRT payable on the vehicle,
· Annual motor tax payable, and
· Fuel required for the vehicle to travel 18,000 kilometers (11,184 miles).

Section 3 of the label gives useful information on the environmental impact of transport and driver behavior . Links to further information is also provided here.

Remaining sections of the label provide essential information on the actual vehicle to which it is attached.

More vehicle efficiency and CO2 information is available from:-
Department of Environment
The Society of the Irish Motor Industry (SIMI)