Dáil Éireann Debate, Tuesday - 21 September 2021
55. Deputy Jackie Cahill asked the Minister for Finance if his Department has plans to reduce the excise duty on renewable energy products particularly biogases that are produced through the treatment of farm slurries; and if he will make a statement on the matter. [44674/21]
View answerThere are a number of reliefs in place to encourage the uptake of renewable energy. These include :
- relief from electricity tax for electricity produced from renewable energy sources or environmentally friendly heat and power co-generation.
- relief from the carbon charge component of mineral oil tax for any mineral oil that is shown to the satisfaction of the Commissioners to be biofuel, or vehicle biogas in the case of vehicle gas.
- relief from the carbon charge component of mineral oil tax for the biofuel element of any mineral oil, or in the case of vehicle gas the vehicle biogas element, that has been mixed or blended with a mineral oil.
With specific reference to biogas, biogas is defined as gas that has been obtained solely from biomass. A relief from the carbon component of Mineral Oil Tax on Vehicle Gas (MOT VG) is available for the portion of vehicle gas that is composed of biogas. This means that biogas supplied for use as a vehicle fuel is subject to the non-carbon component of MOT VG only.
The relief from the carbon component of MOT VG for biogas is applied at source by the supplier. The supplier claims the relief by declaring the amount of biogas supplied and paying the non-carbon component rate using Form MOT VG.
