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Transport subsidies

Road transport receives almost half of total subsidies

The European transport sector gets annual subsidies worth an estimated € 270-290 bn, according to this study "Size, structure and distribution of transport subsidies in Europe". It estimates that road transport receives almost half of the total subsidies, € 125 bn whereas rail gets € 73 bn, air transport € 27-35 bn and water transport only € 14-30 bn. So the climate damaging solution, road, is ranking first!

The type of subsidies depend on each mode of transport. For instance, road benefits more from direct infrastructure subsidies while air transport is supported by fuel tax rebates.

It explains also that the subsidies for rail lead to a modal shift away from road and aviation, therefore having positive environmental impacts. This is clearly the way to go in order to build sustainable and climate-friendly transport systems.

For the full report go to:
European Environment Agency

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