Natural Gas Carbon Tax (NGCT)

Rate of tax

A rate of €4.10 per megawatt hour applies, with effect from 1 May 2012 (this replaced the rate of €3.07 that operated from 1 May 2010). It is derived from the rate of €20 per tonne of CO2 emitted that has been applied to fuels generally.

The rate of €4.10 per megawatt-hour is based on net calorific value. Where the quantity of gas supplied is measured using a gross calorific value, the rate should be multiplied by a conversion factor of 0.9028, giving an effective rate of tax of €3.70 per megawatt hour at gross calorific value.

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