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Turkey Plans Tax Boost for Vehicle Energy Efficiency, Vatan Says

Turkey plans to cut tax on relatively energy-efficient cars, while taxing older and less efficient ones more heavily, Vatan reported, citing Energy Minister Taner Yildiz.

The new regime is likely to be introduced within two years, the Istanbul-based newspaper said, adding that tax on diesel vehicles will also be increased.

The measures should help to remove older vehicles from the road by offering people an incentive to buy new models, whereas the current system favors older ones by taxing them more lightly, Vatan said, citing Energy Ministry officials.

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