This is how expensive your petrol will be after the CO2 tax

Fuels such as petrol and diesel have finally become reasonably affordable again. But if the European Union has its way, it won’t take long. The Parliament of the European Union has agreed on a CO2 tax

It is still unclear what exactly the agreements mean for us Dutch people. For example, each government makes its own plans for income support and tax subsidies. The plan provides €86.7 billion to help people on the lowest incomes.

CO2 tax?

But what exactly is the carbon tax? If everything goes according to current plans, as a resident of the European Union you will be paying for the greenhouse gases you emit by 2027. This measure is part of the mission to reduce CO2 emissions by 55 percent by 2030.

Petrol is about 10 cents more expensive per liter

As a Dutch citizen, you probably pay for your CO2 emissions. For example, petrol is becoming a bit more expensive and you pay more for your petrol, for example. That would be about 10 cents extra per liter of petrol.

In addition, the CO2 certificate system is distributed to companies. This means that a company, such as Volkswagen, has the right to emit a certain amount of greenhouse gases. Don’t they use it? Then they can sell it to other companies, for example BMW. In the US, Tesla has already made a lot of money with such a system. Products from outside the European Union that cannot be properly checked for CO2 emissions are also taxed extra. This protects European companies from supposedly cheap competition from the rest of the world.

CO2 tax and price increases for fuels such as petrol not yet certain

Gasoline and other fuels and production of companies more expensive. It doesn’t sound beneficial to anyone. Still, there are experts who say this is very positive news and a good step towards a more carbon-neutral society. However, the agreement is still preliminary and has yet to be finalized.