Natural Gas Carbon Tax (NGCT)

Rates of tax

The legislation for the rate of Natural Gas Carbon Tax (NGCT) was amended in Finance Act 2020. From 1 May 2021 the NGCT rate is expressed in legislation as Gross Calorific Value (GCV). From that date, a conversion from the Net Calorific Value (NCV) rate to GCV rate for NGCT returns to Revenue is no longer required.

  • From 14 October 2026 a rate of €8.77 per MWh at GCV applies. This rate is based on a carbon charge of €48.50 per tonne of CO2 emitted when natural gas is combusted.
  • Previously, from 1 May 2025 to 13 October 2026, a rate of €11.48 at GCV (€12.73 at NCV) per megawatt hour applied. This rate was based on a carbon charge of €63.50 per tonne of CO2 emitted when natural gas is combusted.

The following table provides a breakdown of the current and previous NGCT rates. It also includes the conversion factors used to convert from GCV to NCV. 

Current and previous rates for Natural Gas Carbon Tax
Rate effective fromGCV to NCV Rate Conversion FactorSupply Measured atNGCT rate per MWh
01/05/2025 to 13/10/2026 0.9017 GCV €11.48
NCV €12.73
14/10/2026 0.9017 GCV €8.77
NCV €9.73
Calculation of current NGCT rate (Gross Calorific Value per Megawatt Hour)

55,738 (a) * 0.003246 (b) * €0.0485 (c) = €8.77

a Emission factor of natural gas in kilograms of CO2 per terajoule
b Number of terajoules per megawatt-hour
c

Carbon charge of 4.85 cent per kilogram of CO2 emitted
Conversion from GCV rate to NCV rate

€8.77 (d) / 0.9017 (e) = €9.73

d rate in gross calorific value
e

Conversion Factor

Current and previous rates are available in the Excise Duty Rates on Energy Products and Electricity Taxes Manual.

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Published: 14 October 2026 Print this page

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