Mineral Oil Tax on vehicle gas (MOT VG)

Rate of tax

The rate of MOT that applies to supplies of vehicle gas is €9.36 per megawatt hour (MWh) at gross calorific value (GCV). This rate came into effect on 1 January 2017. When introduced, the then Minister for Finance committed to maintaining this rate for eight years.

As with other MOT rates, MOT on vehicle gas (MOT VG) has both a carbon and non-carbon component. The carbon component is commonly referred to as carbon tax. The non-carbon component is often referred to as "excise", "fuel excise" or "fuel duty". It is important to note that both components of MOT are excise.

From 1 May 2022 the carbon component of MOT VG increased. This increase is based on the amount charged per tonne of carbon dioxide (CO2) emitted increasing from €33.50 to €41.00. 

The overall rate of €9.36 per MWh at GCV did not change. The increase in the carbon component was fully compensated by a decrease in the non-carbon component.

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

Current and previous rates for Mineral Oil Tax on Vehicle Gas
 Rate effective from NCV to GCV Rate Conversion FactorVehicle gas supply measured at Non-Carbon Component 'A' per MWhCarbon Component 'B' per MWh  MOT VG rate per MWh ('A' + 'B') 
01/05/21 to 30/04/22    0.9017   GCV  €3.30  €6.06  €9.36
 NCV  €3.66  €6.72  €10.38
  01/05/22   0.9017  GCV  €1.95  €7.41  €9.36
 NCV  €2.16  €8.22  €10.38

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