2022 update

On April 29, 2022, following high fuel prices and biofuels globally as a consequence of the Russian invasion in Ukraine, the Ministry of Economic Affairs and Employment has proposed temporarily reducing the biofuel obligation for the years 2022 and 2023. In 2022, the proposed distribution obligation is 12% (reduced from 19.5%) and 13.5% (reduced from 21%) in 2023. The 7.5% reduction in biofuel obligation is expected to lower the pump price of diesel by EUR 0.12 (USD 0.13)* per liter. Consequently, there are plans to increase the biofuel obligation for the following years post-2023 to make up for the proposed reduction in 2022 and 2023. A consultation on amending the Distribution Obligation Act was open until May 11, 2022. The 2022 biofuel reduction has now been enforced into th