Egypt: Plans for implementation of a passenger car replacement program
Description
Daily News Egypt, an independent newspaper in English, reported on 27 July 2009 that the Ministry of Trade and Industry and the Ministry of Finance are planning to implement a passenger car replacement program similar to the taxi replacement program currently underway. The aim of the initiative is to facilitate the process of replacing old passenger cars to reduce pollution.
The Minister of Trade and Industry, Rachid Mohamed Rachid, was cited to have said that incentives like tax discounts, financing and other incentives in line with previous replacement programs undertaken by the government will be provided.
While cited experts clearly argue that the scheme will increase local car manufacturers sales, there is no sign that the initiative is discriminatory against foreign competitiors. Mennatalla Sadek, senior financial analyst at Cairo-based investment bank Beltone Financial told Daily News Egypt that "this (the implementation of the replacement program) would mean that the local manufacturing companies would have an opportunity to capitalize, but it also means there would be increased competition from imported cars".
It is further argued that Minister Rachid refused to give clear indications regarding the exact timing of the project's implementation.
Any Evidence-Based Deliberation:
| Question | Result |
|---|---|
| Is there anything in the public record to suggest that evidence of the effectiveness of the proposed measure was considered during official deliberations? | |
| Is there any evidence that alternatives to the proposed measure were considered? | |
| Is there anything in the public record that suggests that empirical evidence informed the comparison across the alternatives available to government? | |
| Was such evidence identified? | |
| Is such evidence publicly available? | |
| Did the official decision-maker in question provide an explanation as to why a chosen measure was favoured over alternatives? | |
| Is there any evidence to suggest that potentially affected trading partners were consulted before the measures were taken? | |
| Is there any evidence that safeguards have been put in place to ensure that implementation of the initiative is transparent and non-discriminatory? | |
| Did the government state its intention to review the measure within one year of implementation? |
Date Discovered: 08/01/2010
Implemented: No
Date of inception:
GTA Evaluation: Green
Source:
Daily News Egypt, 27 July 2009 (http://www.thedailynewsegypt.com/article.aspx?ArticleID=23376)
Government Response:
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