In 2022, the TIRIB, a tax well known to all players in the distribution of fuels in road transport, became TIRUERT, a tax to encourage the use of renewable energy in transport. The Finance Act thus extends the scope of the TIRIB to jet fuels, which thus form a third sector (alongside gasoline and diesel), and to electrical energy from charging stations whose source is renewable. What changes for the road sector?
The new TIRUERT products
The major change is the entry of electric power into the on-road renewable fuel market. Renewable electricity also has a special status. In fact, there is a great deal of freedom to take electrical energy into account, as it can be counted either for the calculation of the incentive tax on gasoline or for that on diesel fuel. This is all the more important as there is no limitation for the amount of electrical energy incorporated and its multiplier coefficient is four.
Who is concerned?
Two types of actors are affected by this change:
- Distributors of on-road liquid fuels are fully subject to the IERT, as they were to the IBRT.
- The players in the 100% distribution of electricity for the road sector are indirectly concerned. They will be able to add value to the renewable energy distributed through the possibility of selling renewable electricity certificates to fuel distributors.
This gives distributors the benefits without the constraints of incorporating liquid biofuel.
Diversification of supplies
This makes it possible for road fuel distributors to diversify their renewable energy supplies. Regarding charging stations, distributors will be able to access new market perspectives, via new sources of revenue, through the valorization of the distributed renewable energy.
Outlook and growth
Thus, the market for renewable energy certificates in the road sector is expected to develop as early as 2022 and grow as the amount of renewable electric energy in road transportation increases. By 2030, our estimates predict about 20 TWh of electricity in road transport, of which about 25% should be “renewable”, which should shake up the historical market of energy certificates in transport.
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