Worried about possible tax increases to LPG or CNG?


Both the liquefied petroleum gas (LPG or autogas) as the compressed natural gas (CNG) are alternative fuels that, in addition to be more respectful with the environment, result in significant savings for the usa. None is better than another to dry, this will depend on the circumstances of each one.

One of the reasons that justifies the low price of these fuels is the ease with which is obtained the raw material, either in bags underground that contain the gas locked up since the dinosaurs “vanished”, as well as a residue of the refining process. Another of the reasons is in your low tax burden, pay few taxes.

it Is a recurring question of the current and future users of the gas if you are going to raise the tax burden and, therefore, the price. The more miles they do per year, it is a matter of little relevance, as it also will save, but they move less would be elongated to their terms of repayment, or a lesser advantage compared to a diesel.


The compressed natural gas is the fuel cheaper out in Spain, after the electricity. Pity that the network of refuelling is today low, about 1 pump every 10 LPG

The usual measures of l/100 km that are used in gasoline are not valid directly talking about the consumption of gas, since are different densities of energy, that is to say, the available energy per unit of volume. Respect to petrol, the LPG needs more litres/100 km for the same result. The consumption of CNG and the respostado tend to look in kilos, not litres.

The difference in litres/kilos is compensated by a price of almost half that of gasoline, so that more litres does not mean more euros, but the other way around. You can save on fuel up to 40% with the system of the current price using LPG, CNG something more. Now, how much time will this situation? Good question.

european directive on the taxation of energy products (2003/96/EC), adopted in 2004, has resolved this issue. Imposed a minimum tax for hydrocarbons, LPG and CNG, and so they remained for years, frozen, without experiencing increases. The minimum european is 125 euros per ton, so member states may exempt all or part of that burden if they so wish.

diesel went from 302 euros/1,000 liters (2004) to 330 euros per 1,000 litres (2010)


All vehicles that use gas in Spain, if they meet at least Euro 4, have the consideration of ecological and have more ease of driving and parking (Madrid and Barcelona)

Until the year 2000 in Spain was not legal to have cars of particular use adapted to GLP, they could only be used in vehicles of public service. Until not entered into force the directive, the taxes were of 796 euros per ton, being laid down in 57,47 € per tonne. Eye, is not the same as one tonne (1,000 kg) thousand litres (1,000 l).

today, the GLP is still paying 57,47 € per tonne, or 1.7% of the price

let’s See what happens with the compressed natural gas. In Spain the same applies to the LPG, nearly 58 euros per ton. The GNC is not recognised as suitable as a road fuel until the modification of the excise law with the new 22/2005. Both LPG as CNG is rid of the “penny health”, that he was neither a penny, nor the health was their main purpose.

Given that both the LPG as CNG have an effective reduction of emissions of greenhouse gases (CO2) compared to gasoline and diesel, it seems evident that they are always benefit fiscally with regard to traditional fuels, less refined and more polluting. Today there is not planned nor climbs, nor the end of the fiscal treatment favourable to these fuels.

In 2011 there was a revision of the 2003 directive to put an end to the benefits in 2023, but finally did not materialize. Therefore, low taxes the gas will continue indefinitely.


Supplier of LPG in Lerida, November 2017

So how cheap are these fuels?

Taking as a reference the prices of LPG in 2016 in the major consuming countries, we have that the GLP has a half tax burden 34.7% of the price, in the Spanish case, only 22.7% (21% VAT), in front of a load of 47.9 per cent of the diesel oil (in Spain 53.6%) and 53.4% of the gasoline (in Spain 57,5%).

Is more, the average price of LPG is 59% of the diesel oil (in Spain 58,7%) and 52.1% of the gasoline (in Spain 51.7 percent). Do and without taxes, what? The average was 37 cents per liter (the mean change from 2016), being Spain the fifth country with the LPG the most expensive after Japan, France, the United Kingdom and the united States. That is a matter for the energy companies, not the Government or the European Union.

In short, increase the taxes on LPG or CNG are not interested in the Administration, since you are interested in reducing the emissions of greenhouse gases and toxic, and these gases lower the two. The European Union is not interested in, at least until 2030, when the witness technological will happen to the electric and internal combustion will start to be progressively marginalized.