Government accused of lying over carbon tax

It has been disclosed that government has failed to channel carbon tax revenue amounting to K1 billion towards environmental protection almost a year after its introduction.

In the last financial year, government introduced carbon tax on vehicles as part of Malawi’s contribution to the global initiative of managing carbon emissions.

Environmentalists have argued that carbon tax revenue should be channeled to the Climate Change Fund for environmental protecting rather than Account Number One.

While appearing before the Parliamentary Cluster on Agriculture and Natural Resources, Peterson Ponderani, Budget Director in the Ministry of Finance, confirmed that the carbon tax revenue has not been utilized.

Ponderani said the funds were channeled to government’s Account Number One.

Welani Chilenga, Chairperson of the Cluster has accused the Ministry of Finance of lying to the public about the purpose of carbon tax.

The carbon tax is targeted at motor vehicles renewing their Certificate of Fitness (C0F).

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