Environment taxes on agriculture were 1.3% of the total environment-related taxes collected in 2022, recent data has shown.

This represents a total of €61 million collected, according to the Central Statistics Office (CSO).

A total of €4.5 billion was collected in environment taxes in 2022, which was a lower figure than the €5 billion collected in 2021, showing a decrease of €500 million.

Gerard Keogh, statistician with the CSO said: “The decrease was due to the introduction of a temporary reduction in excise duty on fuels in April.”

An environment tax is defined by EU regulations as tax whereby the tax base is a physical unit of something that has a proven negative impact on the environment, and which is identified in the European system of accounts as a tax.

Environment taxes collected in 2022

Environment-related taxes accounted for 4% of total taxes in 2022, with the CSO providing a breakdown of the taxpayer type and the economic sector of the taxes.

Taxpayer type:

  • Pollution and resource taxes – 0.4%;
  • Transport taxes – 39%;
  • Energy Taxes – 61%.

Economic sector:

  • Households – 56%;
  • Services – 31%;
  • Industry – 11%;
  • Agriculture – 1.3%.
Environment taxes by economic sector. Source: CSO

Environment taxes in agriculture reached their peak in 2015, when a total of €81 million was collected, including €73 million in energy taxes. 

Environment-related taxes

Taxes on transport fuels (hydrocarbon oils) accounted for 54% of all energy taxes in 2022.

Keogh said: “The combined carbon tax, carbon credits and the public service obligation (PSO) levy accounted for 41% of energy taxes.”

There was an increase of carbon taxes seen in 2022, as the CSO reported they rose by 22% to €807 million.

Transport taxes (including motor tax and vehicle registration tax) accounted for 39% of all environment-related taxes in 2022.

“Environment taxes levied on service industries were €1.4 billion in 2022, representing a 31% share of total environment taxes,” Keogh added.

Only 0.4% (€18 million) of all environment taxes were collected in the form of pollution and resource taxes – a landfill levy; a plastic bag levy; a fisheries levy; or a petroleum act levy.