end of tax exemption for non-road diesel for farmers and construction

by time news

2023-09-07 10:26:00

The tax rebate on diesel from which certain professions benefit will be abolished for farmers and public works companies, but not for road hauliers in order to preserve their “competitiveness”announced Thursday September 7 the Minister of the Economy, Bruno Le Maire.

“We will remove the tax loophole on non-road diesel quite simply to switch our taxation from a brown taxation – it is a taxation which encourages the consumption of fossil fuels, therefore it is bad for the climate – to a taxation which promotes green investments”, declared Bruno Le Maire on Franceinfo.

The measure will apply gradually

This measure will concern farmers and construction companies, with whom discussions are underway in order to ” find an agreement “he continued, specifying that there would be “compensation to support the transformation”. “We must not proceed with brutality”, added the minister.

The Ministry of the Economy and Finance indicated that the end of tax exemption for non-road diesel would apply gradually from 2024 and until 2030 for the construction industry, or even a little beyond for farmers.

The president of the FNSEA, the leading agricultural union, will be in Bercy next week, the same source added. The union said it was ready to gradually do without RNG if an alternative solution is offered to operators: tractors running on another fuel, aid for the transition, etc.

Its president, Arnaud Rousseau, declared again this Thursday on RMC that he was not “no question of it being deleted” of “abrupt manner”. “Requiring an effort, a change from brown to green, to use the expression of the Minister of the Economy, this requires solutions. But today there are few solutions. For us it’s a subject of competitiveness,” he said.

Protected road carriers

On the other hand, road carriers will not be “not concerned” by the gradual end of the tax exemption for diesel in order to ” preserve (their) competitiveness », underlined Bruno Le Maire. He noted that, for this profession, the level of taxation on diesel was higher than that practiced by other European countries.

“The level of taxation on diesel is 3.8 cents for farmers, 18 cents for public works, so it is much lower than what exists in the average of European countries and in France”he detailed. “But it is 45 cents for road hauliers, it is higher than what is practiced in Spain, higher than what is practiced in Italy. »

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