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Norway faces 24% tax increase on F-gases

NORWAY: The industry in Norway faces a 24% increase in tax on f-gases in proposals for the country’s 2023 budget.

The proposed increase in the CO2 tax on refrigerants would see an increase from NOK766 (€74) to NOK952 (€92) per tonne of CO2 equivalent. According to the VKE, Norway’s refrigeration and air conditioning association, this would typically add NOK642.6/kg (€62/kg) to the price of R32 and NOK1,987.3/kg (€191/kg) to the cost of R410A.

“There has been little debate about the CO2 tax after the proposal for the state budget was released, so we believe that the proposal will be adopted in the final state budget,” said VKE head  Espen Rønning.

According to Rønning, there is nothing to indicate that this will be the last major increase in the CO2 tax, with the long-term objective of the Norwegian government is for the tax to go up to NOK2,000 (€193) per tonne of CO2 equivalent by 2030.

“In the event of a future leak of a refrigerant with a high GWP, the customer could risk being left with a huge bill,” Rønning said.

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