Motorists concerned that the energy used in producing car parts for new autos being sold through the scrappage scheme means it is not a particularly eco-friendly initiative may have nothing to worry about, it has been suggested.

According to one environmental industry group, the positives of the programme outweigh the negatives.

Clean Green Cars dismissed criticisms the initiative is an expensive way to reduce CO2 emissions and not that beneficial to the planet anyway.

Spokesman Jay Nagley commented: "While not perfect, the extension of the scrappage scheme should be welcomed."

The company said autos being traded in tend to release significantly more CO2 than those being bought.

It also claimed the programme funds itself because the £1,000 provided by government is covered by the VAT payable on new vehicles.

Finally, the firm dismissed objections that motorists buying new cars under the scheme would have done so eventually without the financial incentive.

It explained ten-year-old motors are rarely exchanged for brand new autos.

The company made these comments after the Environmental Transport Association voiced concerns over the extension of the scheme.

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