Factsheet for measure
NL-2023-1/3003
– measures in Netherlands
Tightening carbon tax exemptions on industry
Aanscherping CO2-heffing industrie
Background information
Industrial companies that emit too much CO2 will pay more tax from 1 January 2023. The government wants to encourage industrial companies to make their production processes more sustainable. The goal is an additional reduction of over 4 megatonnes of CO2 emissions by 2030. This is on top of the 14.3 megaton reduction in CO2 emissions agreed in the Climate Agreement for 2030.
Content of measure
The part of CO2 emissions on which industrial companies do not have to pay a tax is smaller from 1 January 2023. Thus, companies that emit a lot of CO2 will pay more tax. Since 1 January 2021, industrial companies have been paying a CO2 levy. The aim is to encourage companies to emit less CO2 in their production processes. To give companies time to adjust their processes, they are given an exemption for part of the emissions. This exempted part will decrease from 1 January 2023. The carbon tax rate will not change from 1 January 2023. The government plans to determine in 2024 whether the carbon tax rate should be higher from 1 January 2025. The Netherlands Emissions Authority (NEA) implements the scheme.
Use of measure
No data.
Target groups
Actors and funding
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Actors
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Funding
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National government
Company / Companies
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No special funding required
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Social partners
Social partners' role in
designing the measure
and form of involvement:
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Trade unions
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Employers' organisations
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Role
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Consulted
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Consulted
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Form
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Any other form of consultation, institutionalised (as stable working groups or committees) or informal
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Any other form of consultation, institutionalised (as stable working groups or committees) or informal
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Social partners' role in the
implementation, monitoring and assessment phase:
-
Unknown
-
Main level of involvement: Unknown
Involvement
Internetconsultation.nl allows anyone to make suggestions for improving laws and regulations under preparation. This increases the involvement of citizens, businesses and institutions in the creation of laws and regulations.
Views and reactions
The Consultation report on the Industry CO2 Levy Act shows that more than 30 industrial companies or interest groups, such as employer' organisations VNO-NCW (Confederation of Netherlands Industry and Employers), Midden- en Kleinbedrijf Nederland (SME Netherlands, MKB NL, Vereniging Nederlands Cabinepersoneel (Dutch cabin crew association, VNC I), Koninklijke vereniging van Nederlandse papier- en kartonfabrieken (Royal association of Dutch paper and board mills, VNP) and Federatie Nederlandse Levensmiddelen Industrie (Dutch Food Industry Federation, FNLI) responded to the consultation. These often extensive responses address the content of the design of the bill. In general terms, these responses express support for the Climate Goals but also call for a postponement of the bill, citing the uncertain economic conditions due to the COVID-19 outbreak and the development of the Green Deal in the European Union. This consultation took place in May 2020.
Sources
