Text · Opinion parliamentary committee draft
On the proposal for a Council directive restructuring the Union framework for the taxation of energy products and electricity (recast)
Document AGRI-PA-774500 · COM(2021)0563 – C90362/2021 – 2021/0213(CNS)
- Kind
- Opinion parliamentary committee draft AGRI-PA-774500
- Date
- 18 June 2025
- Committee
- Committee on Agriculture and Rural Development
- Rapporteur
- Carlo Fidanza
- Dossier
- 2021-0213
More facts (3)
- Formats
- Official page PDF Word
- Subject matter
- ENER, MARI, FISC
- Reference
- COM(2021)0563 – C90362/2021 – 2021/0213(CNS)
In short
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The Committee on Agriculture and Rural Development's rapporteur proposes amendments to the proposed Council directive restructuring EU energy taxation. The amendments seek preferential tax treatment for sustainable biofuels from non-food raw materials and agricultural by-products, and safeguards so renewable energy, including agri-photovoltaic systems, does not displace farmland or food production. They ask for gradual, proportionate tax increases with compensation such as energy efficiency incentives and support for vulnerable households, and for flexibility reflecting Member States' differing socio-economic conditions. They propose tax exemptions or reductions for energy used in agriculture, horticulture, forestry, fisheries and aquaculture, and lower minimum rates for waterborne navigation, fishing and freight transport. They also seek a stronger role for Parliament in overseeing delegated acts, expert consultation with affected production sectors, and broader review and monitoring provisions.
Position. The rapporteur proposes amendments to the proposed directive to reflect Member States' diverse socio-economic contexts, balance the energy transition with food security and agricultural productivity, introduce preferential tax mechanisms for sustainable biofuels, make tax increases gradual and compensated, and broaden review and monitoring provisions.
Key points
- The rapporteur proposes amendments so the energy taxation framework reflects Member States' diverse socio-economic contexts and balances the energy transition with food security and agricultural productivity.
- Renewable energy, including agri-photovoltaic systems, should be developed through integrated models compatible with farming and without loss of useful agricultural area.
- The directive should provide preferential tax mechanisms for sustainable biofuels derived from non-food raw materials and agricultural by-products.
- Tax increases should be gradual and proportionate, flanked by compensation such as energy efficiency incentives or support for vulnerable households.
- Member States should be able to apply flexible measures and derogations from minimum taxation levels in line with their national socio-economic characteristics.
- Minimum levels of taxation should be consistent with the principles of subsidiarity and proportionality.
- Member States may apply a level of taxation tapering to zero to energy products and electricity used for agricultural, horticultural or aquaculture activities, and in forestry, until affordable alternatives exist.
- Energy products intended for sectors such as agriculture, forestry, aquaculture and horticulture should be exempted, and energy products and electricity used in agriculture, horticulture, fisheries and aquaculture too.
- Fuel used for waterborne navigation should be taxed, but minimum levels for intra-EU regular service navigation, fishing and freight transport should be lower than for general motor fuel use.
- Sustainable alternative fuels and electricity for waterborne navigation should be exempted from taxation for a transitional period of ten years.
- The Commission should carry out consultations on delegated acts with the production sectors most involved, and Parliament should be more involved in oversight of delegated acts.
- The Commission should report every five years to the Council and the European Parliament, examining minimum taxation levels, innovation, renewable energy use in transport and the justification for exemptions.
Who is affected
- Farmers and the agri-food sector: energy used in agriculture, horticulture, forestry, fisheries and aquaculture could be exempted or taxed at tapering rates.
- Vulnerable households: tax increases should be flanked by support measures.
- Waterborne navigation, fishing and freight transport: lower minimum tax levels and a ten-year exemption for sustainable alternative fuels and electricity.
- Member States: may apply flexible measures, derogations and differentiated taxation reflecting national socio-economic conditions.
- Producers of sustainable biofuels from non-food raw materials and agricultural by-products: preferential tax mechanisms.
Figures and deadlines
- A transitional period of ten years for minimum rates starting from zero and increasing each year by one tenth of the final minimum rates.
- A transitional period of ten years of zero minimum rates for sustainable biofuels and biogas, low-carbon fuels, renewable fuels of non-biological origin and electricity.
- A ten-year exemption from taxation for sustainable alternative fuels and electricity used in waterborne navigation.
- The Commission should report every five years and for the first time five years after 1 January 2023.
- A 50% tax on biofuels from crops, whose emissions are 73% lower than fossil fuels, and 98.6% for other renewable fuels and electricity.
- RED II's minimum threshold of 65%.
- Blends of agricultural biofuels contain up to 85% renewable ethanol, reducing fine particulate matter by 90% and net greenhouse gas emissions by 79%.
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Short justification
The rapporteur aims at introducing a series of amendments to the proposed directive on energy taxation in order to ensure that the framework reflects the diverse socio-economic contexts of the Member States. A central concern of the amendments is the need to balance the energy transition with the preservation of food security and agricultural productivity. In this regard, the rapporteur underlines the importance of ensuring that the development of renewable energy source, such as agri-photovoltaic systems, does not occur at the expense of farmland and food production.
Moreover, the amendments propose the adoption of preferential tax mechanisms for sustainable biofuels derived from non-food raw materials and agricultural by-products, as these can simultaneously contribute to emission reductions and support the viability of agricultural enterprises. The rapporteur also advocates for a more flexible approach to taxation that takes into account the varying levels of socio-economic development across Member States, suggesting that increases in energy taxation should be gradual, proportionate, and accompanied by compensatory measures such as energy efficiency incentives or support for vulnerable households.
In the context of governance, the rapporteur proposes a stronger involvement of the European Parliament in the oversight of delegated acts and stresses the need for expert consultation, particularly from sectors most affected by the directive. Furthermore, the rapporteur emphasizes the necessity to consider regional and sectoral specificities, especially in the fields of agriculture, forestry, aquaculture, and maritime transport, and to safeguard the connectivity of insular regions and tourism.
Finally, the rapporteur calls for a broadening of the review and monitoring provisions in the directive, so that future assessments fully reflect the impact of renewable fuels on emission reductions, economic competitiveness, and energy affordability. The overall aim of these amendments is to ensure that the transition to a sustainable energy system is fair, realistic, and socially balanced.
The Committee on Agriculture and Rural Development submits the following to the Committee on Economic and Monetary Affairs, as the committee responsible:
| Text proposed by the Commission | Amendment |
|---|---|
| (3) It is necessary to ensure that clear taxation rules for energy products and electricity continue to contribute to the smooth functioning of the internal market while at the same time tackling the climate and environmental-related challenges in the context of the Communication from the Commission ‘The European Green Deal’28. Energy taxation can contribute to the ambition of at least 55 % reduction in net greenhouse gas emissions by 2030 compared to 1990, as well as to the objective of zero pollution through the implementation of the polluter-pays principle, by ensuring that the taxation of motor fuels, heating fuels and electricity better reflects the impact they have on the environment and on health. The contribution of energy taxation to those objectives has been endorsed by the Council Conclusions on the EU energy taxation framework29 . | (3) It is necessary to ensure that clear taxation rules for energy products and electricity continue to contribute to the smooth functioning of the internal market while at the same time tackling climate and environmental-related challenges, along with socio-economic and food security challenges. |
| 28 COM(2019) 640 final of 11 December 2019. | |
| 29 14861/19 of 5 December 2019. |
| Text proposed by the Commission | Amendment |
|---|---|
| (3a) It is essential that the promotion of renewable energy sources does not come at the expense of agricultural production and the primary and strategic role of agriculture for European food security. The Union should safeguard food autonomy as a priority objective and cannot allow the use of agricultural land for energy purposes to replace or undermine food production. Therefore, renewable energies, including agriPV, should be developed through integrated models compatible with agricultural activity and without loss of useful area. At the same time, the adoption of biofuels derived from agricultural by-products and non-food raw materials offers a real opportunity to reduce emissions in the agricultural and transport sectors, while boosting farm profitability. This Directive should therefore provide for preferential tax mechanisms for solutions of that kind, ensuring that the energy transition is fully consistent with the need to maintain and step up the production capacity of the European agri-food sector. |
| Text proposed by the Commission | Amendment |
|---|---|
| (4) Environmental taxation can be a cost-effective mean for Member States to achieve the targeted reductions of greenhouse gasses. The proper functioning of the internal market requires common rules on that taxation. | (4) Environmental taxation can be a cost-effective mean for Member States to achieve the targeted reductions of greenhouse gasses. The proper functioning of the internal market requires common rules on that taxation that are in keeping with the specific socio-economic characteristics of the Member States. |
| Text proposed by the Commission | Amendment |
|---|---|
| (5) Member States should, however, be able to use the energy taxation of motor fuels, heating fuels and electricity for a variety of purposes not necessarily nor specifically or exclusively related to the reduction of greenhouse gases. | (5) Member States should, however, be able to use the energy taxation of motor fuels, heating fuels and electricity for a variety of purposes not necessarily nor specifically or exclusively related to the reduction of greenhouse gases. Where appropriate, measures of that kind should consider conditions in the social groups that would be most affected, taking particular account of the most vulnerable households. |
| Text proposed by the Commission | Amendment |
|---|---|
| (6) Appreciable differences in the national levels of energy taxation applied by Member States could prove detrimental to the proper functioning of the internal market. | (6) Appreciable differences in the national levels of energy taxation applied by Member States could prove detrimental to the proper functioning of the internal market. However, as socio-economic levels vary from one Member State to another, flexible measures should be introduced, in line with specific national characteristics. |
This amendment is intended to balance the need for an efficient internal market with respect for socio-economic differences among Member States. Significant differences in energy taxation may hinder competition and the cohesion of the single market, but applying uniform measures could penalise countries with contrasting economic and social characteristics. Introducing flexibility makes it possible to adapt policies to national conditions, promoting fairness and sustainability.
| Text proposed by the Commission | Amendment |
|---|---|
| (7) The establishment of appropriate Union minimum levels of taxation may enable existing differences in the national levels of taxation to be reduced. | (7) The establishment of appropriate Union minimum levels of taxation may enable existing differences in the national levels of taxation to be reduced. This setting of minimum levels should be consistent with the principles of subsidiarity and proportionality. |
The introduction of harmonised minimum levels of taxation at EU level is intended to reduce disparities among Member States, fostering a fairer and more competitive internal market. However, it is essential that those levels are consistent with the principles of subsidiarity and proportionality, ensuring that decisions are taken at the most appropriate level and that the measures taken are proportionate to the objectives, preventing excessive or ineffective taxation.
| Text proposed by the Commission | Amendment |
|---|---|
| (8) As a party to the United Nations Framework Convention on Climate Change, the Union has ratified the Paris Agreement. The taxation of energy products and, where appropriate, electricity is one of the instruments available for achieving the Paris Agreement objectives. | (8) As a party to the United Nations Framework Convention on Climate Change, the Union has ratified the Paris Agreement. The taxation of energy products and, where appropriate, electricity is one of the instruments available for achieving the Paris Agreement objectives, always taking into account Member States’ domestic challenges in connection with the energy transition, decarbonisation of industry, competitiveness and sustainability of the farming sector. |
In signing up to the Paris Agreement, the EU recognises the importance of effective tools to achieve climate objectives. The taxation of energy products and electricity is a crucial means of incentivising emission reductions. However, to ensure a fair and achievable pathway, these measures need to be balanced against Member States’ domestic challenges, such as the energy transition, industrial decarbonisation, economic competitiveness and farming sustainability.
| Text proposed by the Commission | Amendment |
|---|---|
| (10) In the interest of fiscal neutrality, the same minimum levels of taxation should apply for each component of energy taxation, to all energy products put to a given use. Where equal minimum levels of taxation are thus set, Member States should, also for reason of fiscal neutrality, ensure equal levels of national taxation on all products concerned. | (10) In the interest of fiscal neutrality, the same minimum levels of taxation should apply for each component of energy taxation, to all energy products put to a given use. Where equal minimum levels of taxation are thus set, Member States should, also for reason of fiscal neutrality, ensure equal levels of national taxation on all products concerned. However, where economic and social conditions or the national context so requires, Member States should be able to provide for a possible derogation from applying the minimum levels for a specified and predetermined period of time. |
| Text proposed by the Commission | Amendment |
|---|---|
| (11) Member States should also replicate at any time the ranking of minimum levels of taxation as laid down in the annex in relation to different products for each given use in order to ensure an environmentally tailored structure of rates. The minimum levels of energy taxation should be automatically aligned every year to take into account the evolution of their real value in order to preserve the current level of rate harmonization and therefore reduce the volatility stemming from energy and food prices. This alignment should be made on the basis of the changes in the Union-wide harmonised index of consumer prices excluding energy and unprocessed food as published by Eurostat. | (11) Member States should also replicate at any time the ranking of minimum levels of taxation as laid down in the annex in relation to different products for each given use in order to ensure an environmentally tailored structure of rates, but one which also takes account of national socio-economic conditions. The minimum levels of energy taxation should be automatically aligned every year to take into account the evolution of their real value in order to preserve the current level of rate harmonization and therefore reduce the volatility stemming from energy and food prices. This alignment should be made on the basis of the changes in the Union-wide harmonised index of consumer prices excluding energy and unprocessed food as published by Eurostat. |
| Text proposed by the Commission | Amendment |
|---|---|
| (12) In order to ensure a smooth implementation of certain provisions relating to some products or uses, a transitional period of application is needed. | (12) In order to ensure a smooth and efficient implementation of certain provisions relating to some products or uses, taking account of the level of socio-economic development and environmental objectives of each Member State, a transitional period of application is needed. |
| Text proposed by the Commission | Amendment |
|---|---|
| (12a) With a view to providing competitive energy for companies and protecting the productivity of the sectors involved, it is necessary to pursue greater technological neutrality by exploiting solutions other than pure electric, such as the use of sustainable biofuels and e-fuels. |
| Text proposed by the Commission | Amendment |
|---|---|
| (12b) All energy transitions should be gradual, affording some flexibility for the requisite structural adjustments and consequent social effects. At the same time, less complicated procedures and regulatory constraints are needed, with more streamlined authorisation processes and better coordination among European bodies. |
| Text proposed by the Commission | Amendment |
|---|---|
| (15) Energy prices are key elements of energy, transport and environment policies in the Union . | (15) Energy prices are key elements of energy, transport, environment and food production and security policies in the Union. |
Energy and electricity prices directly affect multiple strategic sectors in the EU, including energy, transport, environment, production and food security. A sound pricing policy is key to promoting energy efficiency, reducing environmental impact and ensuring economic and social sustainability. Therefore, it is essential to view these prices as central levers for integrated and coherent policies at EU level.
| Text proposed by the Commission | Amendment |
|---|---|
| (23) Fuel used for waterborne navigation, including fishing, should also be taxed, and the Member States party to international agreements providing for the exemption of that fuel, have to, by the date of the application of this Directive, ensure they eliminate the incompatibilities. It is necessary to allow for a different level of taxation to be applied to the use of energy products and electricity for intra-EU waterborne regular service navigation, fishing and freight transport and their respective at berth activities. Considering the specificity of those uses, the minimum levels of taxation should be lower than the ones applicable to general motor fuel use. In order to provide an incentive to the use of sustainable alternative fuels and electricity, such fuels and electricity should be exempted from taxation for ten years. Energy products and electricity used for the remaining intra-EU waterborne navigation should be subject to the standard levels of taxation applicable to motor fuels and electricity in the Member States. | deleted |
| Text proposed by the Commission | Amendment |
|---|---|
| (23a) Fuel used for waterborne navigation should also be taxed. However, Member States party to international agreements providing for the exemption of that fuel, should, by the date of the application of this Directive, take the requisite measures to eliminate any incompatibilities, providing, at the same time, for a gradual and sustainable transition. It is appropriate to provide for the option to apply a different level of taxation to the use of energy products and electricity for intra-EU waterborne regular service navigation, fishing and freight transport and their respective at berth activities. Taking into account the specific nature of those uses, along with the need to prevent economic shocks and safeguard international competitiveness and tourism, minimum levels of taxation should be lower than those for the general use of motor fuels. To provide an incentive to the use of sustainable alternative fuels and electricity, energy sources of that kind should be exempted from taxation for a transitional period of ten years. Lastly, account needs to be taken of the geographical and insular location of many regions of the Union, where maritime and air connections are essential infrastructure for mobility and territorial cohesion. For those reasons, new taxes should be introduced or exemptions removed in a gradual manner, preventing distortive effects on markets and providing a fair and sustainable transition for all sectors concerned. |
| Text proposed by the Commission | Amendment |
|---|---|
| (25) Member States should be permitted to apply certain other exemptions or reduced levels of taxation, where that will not be detrimental to the environmental objectives, to the proper functioning of the internal market and will not result in distortions of competition. | (25) Member States should be permitted to apply certain other exemptions or reduced levels of taxation, in line with their socio-economic conditions, where that will not be detrimental to the environmental objectives, to the proper functioning of the internal market and will not result in distortions of competition. |
Enabling Member States to apply tax exemptions or reductions in line with their specific socio-economic conditions provides flexibility to address different conditions without undermining environmental objectives or the internal market. This measure prevents distortion of competition by promoting a balance between social fairness, environmental protection and the smooth functioning of the European single market.
| Text proposed by the Commission | Amendment |
|---|---|
| (28) Targeted reductions in the tax level may prove necessary to tackle the social impact of energy taxes. An exemption from taxation may temporarily prove necessary to protect vulnerable households. | (28) Targeted reductions in the tax level may prove necessary to tackle the social impact of energy taxes. An exemption from taxation may temporarily prove necessary to protect vulnerable households and strategic sectors such as agriculture, forestry, horticulture and aquaculture, where energy product costs are reflected in the final price of the product. |
| Text proposed by the Commission | Amendment |
|---|---|
| (35) Reference should be made to the version presently applicable of the Combined Nomenclature. In order to ensure that the references to Combined Nomenclature (CN) codes in this Directive are updated whenever necessary, and that the minimum rates of taxation reflect prices evolution, the power to adopt acts in accordance with Article 290 of the TFEU should be delegated to the Commission in respect of updating the reference to those CN codes, and in respect of updating the minimum tax rates based on yearly variations of the consumer price index. It is of particular importance that the Commission carry out appropriate consultations during its preparatory work, including at expert level, and that those consultations be conducted in accordance with the principles laid down in the Interinstitutional Agreement of 13 April 2016 on Better Law-Making. In particular, to ensure equal participation in the preparation of delegated acts, the Council receives all documents at the same time as Member States' experts, and their experts systematically have access to meetings of Commission expert groups dealing with the preparation of delegated acts. | (35) Reference should be made to the version presently applicable of the Combined Nomenclature. In order to ensure that the references to Combined Nomenclature (CN) codes in this Directive are updated whenever necessary, and that the minimum rates of taxation reflect prices evolution, the power to adopt acts in accordance with Article 290 of the TFEU should be delegated to the Commission in respect of updating the reference to those CN codes, and in respect of updating the minimum tax rates based on yearly variations of the consumer price index. It is of particular importance that the Commission carry out appropriate consultations during its preparatory work, including at expert level among the production sectors most involved and that those consultations be conducted in accordance with the principles laid down in the Interinstitutional Agreement of 13 April 2016 on Better Law-Making. In particular, to ensure equal participation in the preparation of delegated acts, the Council receives all documents at the same time as Member States' experts, and their experts systematically have access to meetings of Commission expert groups dealing with the preparation of delegated acts. |
| Text proposed by the Commission | Amendment |
|---|---|
| (36) Every five years and for the first time five years after the entry into force of this Directive, the Commission should report to the Council on the application of this Directive, examining in particular the minimum levels of taxation, the impact of innovation and technological developments, especially as regards energy efficiency, the use of electricity in transport and the justification for the exemptions, reductions and differentiations laid down in this Directive. The report should take into account the proper functioning of the internal market, environmental and social considerations, the real value of the minimum levels of taxation and the wider relevant objectives of the Treaties. | (36) Every five years and for the first time five years after the entry into force of this Directive, the Commission should report to the Council on the application of this Directive, examining in particular the minimum levels of taxation, the impact of innovation and technological developments, especially as regards energy efficiency, the use of electricity from the production sectors most involved in transport, their contribution to reducing emissions and the justification for the exemptions, reductions and differentiations laid down in this Directive. The report should take into account the proper functioning of the internal market, environmental and social considerations, the real value of the minimum levels of taxation and the wider relevant objectives of the Treaties. |
The new Energy Taxation Directive provides for a 50% tax on biofuels from crops, emissions from which are 73% lower than those from fossil fuels. Other renewable fuels and electricity may be taxed at 98.6%. This approach does not reflect the real environmental benefit. Rates should reward those who reduce emissions the most, in line with RED II’s minimum threshold of 65%.
| Text proposed by the Commission | Amendment |
|---|---|
| 1a. Any tax increases must be gradual and proportionate, and in any event flanked with compensation, such as energy efficiency incentives or measures to support vulnerable households. |
Gradual and proportionate tax increases are essential if excessive impacts on consumers and businesses are to be avoided. Flanking these increases with compensatory measures, such as energy efficiency incentives and support for vulnerable households, ensures a fair and sustainable approach. This balance fosters social acceptance of tax policies and supports the energy transition without compromising the well-being of the most vulnerable.
| Text proposed by the Commission | Amendment |
|---|---|
| 4. Taxable products, referred to in paragraphs 1 and 3, produced or derived from biomass are subject under fiscal control to the specific levels of taxation set out for those products in accordance with this Directive, provided that they fulfil either of following criteria: | 4. Taxable products, referred to in paragraphs 1 and 3, produced or derived from biomass are subject under fiscal control to the specific levels of taxation set out for those products in accordance with this Directive, provided that they fulfil: |
| Text proposed by the Commission | Amendment |
|---|---|
| a) the sustainability and greenhouse gas saving criteria set out in Article 29 of Directive (EU) 2018/2001, excluding high indirect land-use change-risk products set out in Article 26(2) of that Directive; | the sustainability and greenhouse gas saving criteria set out in Article 29 of Directive (EU) 2018/2001, excluding high indirect land-use change-risk products set out in Article 26(2) of that Directive (biofuels, biogas or bioliquids); |
| Text proposed by the Commission | Amendment |
|---|---|
| b) are produced from the feedstock listed in Annex IX of Directive (EU) 2018/2001. | deleted |
| Text proposed by the Commission | Amendment |
|---|---|
| For the purposes of this Directive the definitions in Article 2 points (24), for ‘biomass’, (28), for ‘biogas’, (32), for ‘bioliquids’, (33), for ‘biofuels’ and (34), for ‘advanced biofuels’, of Directive (EU) 2018/2001 shall apply. | For the purposes of this Directive the definitions in Article 2 points (24), for ‘biomass’, (28), for ‘biogas’, (32), for ‘bioliquids’, and (33), for ‘biofuels’, of Directive (EU) 2018/2001 shall apply. |
| Text proposed by the Commission | Amendment |
|---|---|
| 1a. Member States may, under fiscal control, apply differentiated levels of taxation based on quantitative levels of consumption or other assessment factors, provided that such levels of taxation are no lower than the minimum levels of taxation provided for in this Directive and are compatible with European Union law. |
| Text proposed by the Commission | Amendment |
|---|---|
| 1. Member States shall ensure that where equal minimum levels of taxation are laid down in Annex I in relation to a given use, equal levels of taxation are fixed for products put to that use. Member States shall also replicate at any time the ranking of minimum levels of taxation as laid down in Annex I in relation to different products for each given use. | 1. Member States shall ensure that where equal minimum levels of taxation are laid down in Annex I in relation to a given use, equal levels of taxation are fixed for products put to that use. Member States shall also replicate the ranking of minimum levels of taxation as laid down in Annex I in relation to different products for each given use. |
| Text proposed by the Commission | Amendment |
|---|---|
| The minimum levels of taxation referred to in the first subparagraph shall start from zero and increase each year by one tenth of the final minimum rates, set out in Tables A and D of Annex I, over a transitional period of ten years. A minimum rate of zero shall apply to sustainable biofuels and biogas, low-carbon fuels, renewable fuels of non-biological origin, advanced sustainable biofuels and biogas, and electricity over that transitional period of ten years. | The minimum levels of taxation referred to in the first subparagraph shall start from zero and increase each year by one tenth of the final minimum rates, set out in Tables A and D of Annex I, over a transitional period of ten years. A minimum rate of zero shall apply to sustainable biofuels and biogas, low-carbon fuels, renewable fuels of non-biological origin and electricity over that transitional period of ten years. |
| Text proposed by the Commission | Amendment |
|---|---|
| Over a transitional period of ten years, minimum rates of zero shall apply to sustainable biofuels and biogas, low-carbon-fuels, renewable fuels of non-biological origin, advanced sustainable biofuels and biogas and electricity. | Over a transitional period of ten years, minimum rates of zero shall apply to sustainable biofuels and biogas, low-carbon-fuels, renewable fuels of non-biological origin and electricity. |
| Text proposed by the Commission | Amendment |
|---|---|
| Article 15a | |
| Member States may, until such time as affordable and practically feasible alternatives are available on the market, apply a level of taxation tapering to zero to energy products and electricity used for agricultural, horticultural or aquaculture activities, and in forestry. |
| Text proposed by the Commission | Amendment |
|---|---|
| aa) energy products intended for use in sectors such as agriculture, forestry, aquaculture and horticulture; |
Allowing Member States to apply tax exemptions or reductions to energy products for strategic sectors such as agriculture, forestry, aquaculture and horticulture reflects the importance of supporting activities which are crucial for the economy and the environment. Subjecting these measures to fiscal control ensures transparency and prevents abuse, maintaining the balance between sector-specific support and the smooth functioning of the market.
| Text proposed by the Commission | Amendment |
|---|---|
| d) renewable fuels of non-biological origin, advanced sustainable biofuels, bioliquids, biogas and advanced sustainable products falling within CN codes 4401 and 4402; | d) renewable fuels of non-biological origin, advanced sustainable biofuels, bioliquids, biogas and sustainable products falling within codes 38249955 and 38249980, 38249985, 38249986, 38249992 (excluding anti-rust preparations containing amines as active principles and inorganic composite solvents and thinners for varnishes and similar products), 38249993, 38249996 (excluding anti-rust preparations containing amines as active principles and inorganic composite solvents and thinners for varnishes and similar products), 38260010 and 38260090 for their components produced from biomass, CN 4401 and 4402; |
Blends of agricultural biofuels contain up to 85 % renewable ethanol with petrol and power fuel-flexible or converted vehicles, reducing fine particulate matter by 90 % and net greenhouse gas emissions by 79 %. They increase the share of renewable energy used in transport, improve air quality and reduce dependence on imported fossil fuels and oil.
| Text proposed by the Commission | Amendment |
|---|---|
| ea) energy products and electricity used in agriculture, horticulture, fisheries and aquaculture. |
| Text proposed by the Commission | Amendment |
|---|---|
| a) reductions in the level of taxation, which shall not go below the minima as set out in Table C and D of Annex I, to energy products and electricity used for combined heat and power generation, without prejudice to Article 13; | a) reductions in the level of taxation, which may, until such time as affordable and practically feasible alternatives are available on the market, taper to zero, as indicated in Table C and D of Annex I, to energy products and electricity used for combined heat and power generation, without prejudice to Article 13; |
| Text proposed by the Commission | Amendment |
|---|---|
| Every five years and for the first time five years after 1 January 2023, the Commission shall submit to the Council a report on the application of this Directive. | Every five years and for the first time five years after 1 January 2023, the Commission shall submit to the Council and the European Parliament a report on the application of this Directive. |
| Text proposed by the Commission | Amendment |
|---|---|
| The report by the Commission shall, inter alia, examine the minimum levels of taxation, the impact of innovation and technological developments, in particular as regards energy efficiency, the use of electricity in transport and the justification for the exemptions, reductions and differentiations laid down in this Directive. The report shall take into account the proper functioning of the internal market, environmental and social considerations, the real value of the minimum levels of taxation and the relevant wider objectives of the Treaties. | The report by the Commission shall, inter alia, examine the minimum levels of taxation, the impact of innovation and technological developments, in particular as regards energy efficiency, the use of renewable energy sources in transport, their contribution to reducing emissions and the justification for the exemptions, reductions and differentiations laid down in this Directive. The report shall take into account the proper functioning of the internal market, environmental and social considerations, the real value of the minimum levels of taxation and the relevant wider objectives of the Treaties. |
The new Energy Taxation Directive provides for a 50 % tax on biofuels from crops, emissions from which are 73 % lower than those from fossil fuels. Other renewable fuels and electricity may be taxed at 98.6 %. This approach does not reflect the real environmental benefit. Rates should reward those who reduce emissions the most, in line with RED II’s minimum threshold of 65 %.
| Text proposed by the Commission | Start of transitional period (01.01.2023) | Final rate after completion of transitional period (01.01.2033) before indexation |
| Petrol | 10.75 | 10.75 |
| Gasoil | 10.75 | 10.75 |
| Kerosene | 10.75 | 10.75 |
| Non-sustainable biofuels | 10.75 | 10.75 |
| Liquified Petroleum Gas (LPG) | 7.17 | 10.75 |
| Natural Gas | 7.17 | 10.75 |
| Non-sustainable biogas | 7.17 | 10.75 |
| Non renewable fuels of non-biological origin | 7.17 | 10.75 |
| Sustainable food and feed crop biofuels | 5.38 | 10.75 |
| Sustainable food and feed crop biofuels | 5.38 | 10.75 |
| Sustainable biofuels | 5.38 | 5.38 |
| Sustainable biogas | 5.38 | 5.38 |
| Low-carbon fuels | 0.15 | 5.38 |
| Renewable fuels of non-biological origin | 0.15 | 0.15 |
| Advanced sustainable biofuels and biogas | 0.15 | 0.15 |
| Start of transitional period (01.01.2028) | Final rate after completion of transitional period (01.01.2038) before indexation | |
| Petrol | 10.75 | 10.75 |
| Gasoil | 10.75 | 10.75 |
| Kerosene | 10.75 | 10.75 |
| Non-sustainable biofuels, including high indirect land-use change-risk products | 10.75 | 10.75 |
| Liquified Petroleum Gas (LPG) | 7.17 | 10.75 |
| Natural Gas | 7.17 | 10.75 |
| Non-sustainable biogas, including high indirect land-use change-risk products | 7.17 | 10.75 |
| Non renewable fuels of non-biological origin | 7.17 | 10.75 |
| Sustainable biofuels | 5.38 | 5.38 |
| Sustainable biogas | 5.38 | 5.38 |
| Low-carbon fuels | 0.15 | 5.38 |
| Renewable fuels of non-biological origin | 0.15 | 0.15 |
| Advanced sustainable biofuels and biogas | 0.15 | 0.15 |
Tutte le principali preoccupazioni riguardanti i biocarburanti europei derivati dalle colture, in particolare l’etanolo, sono state affrontate dal Regolamento del 2019 sui biocarburanti ad alto rischio ILUC e dalle relazioni della Commissione. Il Rapporto sul progresso delle energie rinnovabili 2020 non ha riscontrato alcun legame tra i prezzi alimentari e la domanda di biocarburanti nell’UE, evidenziando inoltre bassi impatti ambientali. Le direttive RED II e III stabiliscono severi criteri di sostenibilità, prevedendo la graduale eliminazione solo dei biocarburanti ad alto rischio ILUC.
| Text proposed by the Commission | Start of transitional period (01.01.2023) | Final rate after completion of transitional period (01.01.2033) before indexation |
| Gasoil | 0.9 | 0.9 |
| Heavy fuel oil | 0.9 | 0.9 |
| Kerosene | 0.9 | 0.9 |
| Non-sustainable biofuels | 0.9 | 0.9 |
| Liquified Petroleum Gas (LPG) | 0.6 | 0.9 |
| Natural Gas | 0.6 | 0.9 |
| Non-sustainable biogas | 0.6 | 0.9 |
| Non renewable fuels of non-biological origin | 0.6 | 0.9 |
| Sustainable food and feed crop biofuels | 0.45 | 0.9 |
| Sustainable food and feed crop biogas | 0.45 | 0.9 |
| Sustainable biofuels | 0.45 | 0.45 |
| Sustainable biogas | 0.45 | 0.45 |
| Low-carbon fuels | 0.15 | 0.45 |
| Renewable fuels of non-biological origin | 0.15 | 0.15 |
| Advanced sustainable biofuels and biogas | 0.15 | 0.15 |
| Start of transitional period (01.01.2028) | Final rate after completion of transitional period (01.01.2038) before indexation | |
| Gasoil | 0.9 | 0.9 |
| Heavy fuel oil | 0.9 | 0.9 |
| Kerosene | 0.9 | 0.9 |
| Non-sustainable biofuels, including high indirect land-use change-risk products | 0.9 | 0.9 |
| Liquified Petroleum Gas (LPG) | 0.6 | 0.9 |
| Natural Gas | 0.6 | 0.9 |
| Non-sustainable biogas, including high indirect land-use change-risk products | 0.6 | 0.9 |
| Non renewable fuels of non-biological origin | 0.6 | 0.9 |
| Sustainable biofuels | 0.45 | 0.45 |
| Sustainable biogas | 0.45 | 0.45 |
| Low-carbon fuels | 0.15 | 0.45 |
| Renewable fuels of non-biological origin | 0.15 | 0.15 |
| Advanced sustainable biofuels and biogas | 0.15 | 0.15 |
Tutte le principali preoccupazioni riguardanti i biocarburanti europei a base di colture, in particolare l’etanolo, sono state affrontate dal Regolamento del 2019 sui biocarburanti ad alto rischio ILUC e dai rapporti della Commissione. Il Rapporto sul progresso delle energie rinnovabili del 2020 non ha rilevato alcun collegamento tra i prezzi alimentari e la domanda di biocarburanti nell’UE, evidenziando inoltre un basso impatto ambientale. Le direttive RED II e RED III fissano criteri di sostenibilità rigorosi, prevedendo la graduale eliminazione solo dei biocarburanti ad alto rischio ILUC.
| Text proposed by the Commission | Start of transitional period (01.01.2023) | Final rate after completion of transitional period (01.01.2033) before indexation |
| Gasoil | 0.9 | 0.9 |
| Heavy fuel oil | 0.9 | 0.9 |
| Kerosene | 0.9 | 0.9 |
| Coal and coke | 0.9 | 0.9 |
| Non-sustainable bioliquids | 0.9 | 0.9 |
| Non-sustainable solid products falling within CN codes 4401 and 4402 | 0.9 | 0.9 |
| Liquified Petroleum Gas (LPG) | 0.6 | 0.9 |
| Natural Gas | 0.6 | 0.9 |
| Non-sustainable biogas | 0.6 | 0.9 |
| Non renewable fuels of non-biological origin | 0.6 | 0.9 |
| Sustainable food and feed crop bioliquid | 0.45 | 0.9 |
| Sustainable food and feed crop biogas | 0.45 | 0.9 |
| Sustainable bioliquids | 0.45 | 0.45 |
| Sustainable biogas | 0.45 | 0.45 |
| Sustainable solid products falling within CN codes 4401 and 4402 | 0.45 | 0.45 |
| Low-carbon fuels | 0.15 | 0.45 |
| Renewable fuels of non-biological origin | 0.15 | 0.15 |
| Advanced sustainable bioliquids, biogas and products falling within CN codes 4401 and 4402 | 0.15 | 0.15 |
| Start of transitional period (01.01.2028) | Final rate after completion of transitional period (01.01.2038) before indexation | |
| Gasoil | 0.9 | 0.9 |
| Heavy fuel oil | 0.9 | 0.9 |
| Kerosene | 0.9 | 0.9 |
| Coal and coke | 0.9 | 0.9 |
| Non-sustainable bioliquids, including high indirect land-use change-risk products | 0.9 | 0.9 |
| Non-sustainable solid products falling within CN codes 4401 and 4402 | 0.9 | 0.9 |
| Liquified Petroleum Gas (LPG) | 0.6 | 0.9 |
| Natural Gas | 0.6 | 0.9 |
| Non-sustainable biogas, including high indirect land-use change-risk products | 0.6 | 0.9 |
| Non renewable fuels of non-biological origin | 0.6 | 0.9 |
| Sustainable bioliquids | 0.45 | 0.45 |
| Sustainable biogas | 0.45 | 0.45 |
| Sustainable solid products falling within CN codes 4401 and 4402 | 0.45 | 0.45 |
| Low-carbon fuels | 0.15 | 0.15 |
| Renewable fuels of non-biological origin | 0.15 | 0.15 |
| Advanced sustainable bioliquids, biogas and products falling within CN codes 4401 and 4402 | 0.15 | 0.15 |
Tutte le principali preoccupazioni riguardanti i biocarburanti europei a base di colture, in particolare l’etanolo, sono state affrontate dal Regolamento del 2019 sui biocarburanti ad alto rischio ILUC e dai rapporti della Commissione. Il Rapporto sul progresso delle energie rinnovabili del 2020 non ha riscontrato alcun legame tra i prezzi alimentari e la domanda di biocarburanti nell’UE, evidenziando inoltre bassi impatti ambientali. Le direttive RED II e III stabiliscono criteri di sostenibilità rigorosi, prevedendo la graduale eliminazione solo dei biocarburanti ad alto rischio ILUC.
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Cite as
European Parliament (2025). “DRAFT OPINION on the proposal for a Council directive restructuring the Union framework for the taxation of energy products and electricity (recast)”. Text, 18 June 2025. docId AGRI-PA-774500. EU Parl Watch Research. https://news.eu-parl.st-solutions.dev/texts/AGRI-PA-774500 (retrieved 25 September 2026). Data: EP Open Data API: document record, https://data.europarl.europa.eu/api/v2/documents/AGRI-PA-774500 (CC BY 4.0).
BibTeX
@misc{epw-text-agri-pa-774500,
author = {{European Parliament}},
title = {{DRAFT OPINION on the proposal for a Council directive restructuring the Union framework for the taxation of energy products and electricity (recast)}},
year = {2025},
date = {2025-06-18},
howpublished = {\url{https://news.eu-parl.st-solutions.dev/texts/AGRI-PA-774500}},
url = {https://news.eu-parl.st-solutions.dev/texts/AGRI-PA-774500},
urldate = {2026-09-25},
publisher = {EU Parl Watch Research},
note = {Text. docId AGRI-PA-774500. Data: EP Open Data API: document record (CC BY 4.0)}
}