Parties Split on Ethanol

The People’s Party and the conservative Moderate Party are battling over the question of ethanol.

Yesterday, the People’s Party said that government subsidies on bio-fuels and premiums on cars run on environmentally friendly fuels, should be removed.

But in today’s edition of Swedish newspaper, Dagens Nyheter, the conservative Moderate Party laid out their 12-point plan for the continuation of tax subsidies on bio-fuels, including ethanol, until 2014.

They also proposed to take away tax on these greener cars in four years time.

From today it will be legal to convert petrol driven cars so that they can be fuelled by ethanol.