• Austria to institute new carbon tax

    Date posted:

    • Post Author

      Patrick Lavery

      Combustion Industry News Editor

Photo: Peter Haas

The ruling coalition of the Austrian People’s Party and the Green Party has decided upon the implementation of a new carbon tax as part of a major reform of Austria’s tax system, as Reuters reports. As of mid-2022, a €30/tonne (US$34.8) levy will come into play, rising to €55/tonne (US$63.8) in 2025. Travel and heating costs are expected to rise under the levy, but this will be offset by regional ‘climate bonuses’ of €100/yr for urbanites and €200/yr for those living in the countryside. While it is unclear from the report, the new carbon tax will presumably be in addition to the EU’s Emissions Trading System.