Dutch Government issues subsidy scheme for LNG trucks for 2020 and 2021.

The incentive scheme for LNG and Bio-LNG was finally adopted by the Ministry of Finance of The Netherlands on December 11,  2019. In 2020 and 2021, transport companies will receive a benefit of 18.7 € cents per kilogram of LNG, directly at the pump. With the new regulation, the transport sector can make a direct contribution to achieving the climate goals and an important step is also taken towards progressing Bio-LNG. All this with a healthy and favorable business case for transport companies.

At the end of 2018, the Dutch Ministry of Finance decided not to extend the excise refund scheme for LNG, to the dismay of leading truck manufacturers and carriers. This threatened a stagnation in the advance of LNG and in particular Bio-LNG, the even more sustainable variant of LNG. However, as part of the new plans in the Climate Agreement, it was now decided to implement a new incentive scheme for LNG, and it was officially confirmed in the Government Gazette .

The subsidy scheme starts on January 1, 2020 and ends on December 31, 2021. The compensation in these two years amounts to 18.7 eurocents per kilogram of LNG. The total compensation from the Ministry is 8 million euros. The moment the scheme takes effect on January 1, 2020, the 18.7 euro cents will be directly settled in the pump price by all gas station owners / operators.

Advanced biofuels play an important role in the goals set for mobility in the Climate Agreement,. There are great opportunities for Bio-LNG as the sector is currently working hard to make Bio-LNG available, which will ultimately result in an even greater CO2 reduction.

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