the seller ofthe vehicle is to contribute with a discount which amounts to the same as the government subsidy through the price signal of the new car registration tax scheme linked with the emission output of a car the latvian government aimed to motivate endusers to buy environmentfriendly cars and to make car manufacturers penetrate the market with more efficient vehicles thus since when the new scheme has practically been brought to force the average co emissions of new cars decreased by in gkm and by in gkm