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EU Stakeholders Call For Tax Exception On Shore Power

The European Sea Ports Organization (ESPO) and The Federation of European Private Port Companies and Terminals (FEPORT) has called for an EU wide mandatory tax exemption for shore power in the EU’s revised Energy Taxation Directive.

The groups say they fully support the European Green Deal ambition and the polluter pays principle.

However, considering the European Commission’s proposal and the compromise text on the table in the European Council, they fear that the new Energy Taxation Directive is not delivering on boosting the use of shore power which is identified as a major priority in the new Alternative Fuels Infrastructure Regulation (AFIR).

According to AFIR, by 2030, container and passenger ships above 5000 gross tonnes must connect to shore power while at berth for at least two hours. TEN-T core and comprehensive ports should therefore be equipped to provide it each year for at least 90% of the port calls.

ESPO and FEPORT say that agreeing on an EU wide exemption of taxation for electricity provided to ships at berth is an essential pillar of such policy and a crucial condition to encourage ships to use shore power as soon as it is installed.

The Energy Taxation Directive Commission proposal from 2021 gives Member States the option to…

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