Competing proposals for a US scrappage system said to be close to a compromise
27 April 2009

The US government is close to agreeing a proposal for its own scrappage scheme.

The proponents of two competing congressional bills said last Thursday that they were nearing a compromise agreement.

One of the proposals, aimed at removing the least fuel-efficient vehicles from the road, would offer vouchers for up to $4500 (£3000) to scrap the most uneconomical vehicles. These could then be used against the purchase price of a newer, more efficient vehicle.

The other proposal focuses on encouraging sales of US-made vehicles. Under this proposal, owners of vehicles at least eight years old would get up to $5000 (£3400) off a US-made vehicle, less for a North American-made one and nothing for cars made outside North America.

Both proposals also include the option of trading in old cars for a public transport pass.

Matt Rigby

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