France Mulls Gas Guzzler Penalties to Help Fund Climate Bill

France could raise penalties on the most polluting vehicles to help finance a green industry bill that is designed to respond to subsidies in the US Inflation Reduction Act.

The increase in levies is among possibilities proposed by groups of lawmakers and business leaders to ensure the bill — which the government wants to include tax credits and grants for industry — has a net zero cost for public finances.

The groups also proposed reviewing rates on France’s tax on domestic energy consumption, making changes to research credits, and raising taxation of company-owned vehicles.

The ideas will be opened to ...