For example, new taxes on energy sources are combined with a reduction in taxes on labour.
Green taxes work.
By increasing the price of the goods and services on which they are levied, they discourage the use of these goods and services. If the prices of other polluting goods such as batteries, packaging and pesticides increased due to tax hikes, consumers would use them less, especially if alternatives were available. Given the growing importance of environmentally sound tax reforms, the OECD, in co-operation with the European Commission, has developed a database of detailed information on more than 170 environmentally related taxes and 160 fees and charges in use in OECD Member countries. The database forms a key part of OECD's current work on implementation strategies for such taxes and its coverage will broaden over time. The database is a useful tool that allows international comparison of environmentally related tax policies.