Excise Duties on Energy

The Energy Taxation Directive establishes the minimum excise duty rates that EU countries must apply to energy products for fuel and transport, and electricity. 

EU legislation only sets harmonised minimum rates. Member States are free to apply excise duty rates above these minima, according to their own national needs. 

• Excise duty rates applicable in the EU – Taxes in Europe database (TEDB) 
• EU countries’ revenues from excise duties on energy 
• For archival data, consult CIRCABC 

Aircraft fuel, other than that used in private pleasure-flying, is exempt from excise duty. The exemption is included in the Energy Tax Directive 2003/96/EC (Article 14(1)(b)). 

However, EU countries can tax aviation fuel for domestic flights and, by means of bilateral agreements, also fuel used in intra-EU flights. In such cases, EU countries may apply a level of taxation below the minimum level set out in the Energy Tax Directive. 

Council Directive 95/60/EC provides a common marking system to identify gas oil and kerosene subject to a reduced excise rate. This includes for example mineral oils used as propellants. 

The aim of this marking is to prevent tax evasion and ensure the proper functioning of the internal market. The rules are without prejudice to national provisions on fiscal marking. 

In July 2021, the Commission put forward a proposal to revise the Energy Taxation Directive. The proposal aims to ensure more coherence with other EU policies and contribute to achieving the EU’s mid- and long-term energy and climate objectives. 

More about the proposal 

• Council Directive 2003/96/EC of 27 October 2003 restructuring the Community framework for the taxation of energy products and electricity 
• Council Directive 95/60/EC of 27 November 1995 on fiscal marking of gas oils and kerosene 

• Common Excise Duty Provisions 
• Excise duties on Alcohol 
• Excise duties on Tobacco