Biofuel Quota

Updated: 10.01.2019

Author: Boris Valach

A person introducing petrol or diesel fuel on to the Czech market for the purposes of transport is required to ensure that these fuels include the following minimum quantity of biofuel:

  • 4.1 % by volume for petrol (§ 19 par. 1 a Act No. 201/2012)
  • 6.0 % by volume for diesel (§ 19 par. 1 b Act No. 201/2012)

Eligible technologies

The definition biofuels is laid down in § 2 Letter d of Regulation No. 133/2010.

Biofuels

  • Biofuel is defined as liquid or gaseous fuel used for transportation purposes, produced from biomass (§ 2 Letter d Decree No. 133/2010).
  • Biomass is defined as biodegradable fraction of products, wastes and residues of biological origin from agriculture (including vegetal and animal substances), forestry and related industries, as well as the biodegradable fraction of industrial and municipal waste (§ 2 Letter e Decree No. 133/2010).
  • Biogas is defined as gaseous fuel produced from biomass or biodegradable fraction of waste that is purified to a quality corresponding with natural gas, and which is designed for motor drive (§ 2 Letter f Decree No. 133/2010).
  • Bioethanol is defined as generally or naturally denatured ethanol, produced from biomass (§ 2 Letter g Decree No. 133/2010).
  • Bioether is defined as ethyl tert-butyl ether (ETBE) produced from bioethanol or methyl tert-butyl ether (MTBE) produced from biomethanol, used as an additive to petrol. The share of ETBE regarded as biofuel amounts to 47 percent, and the share of MTBE regarded as biofuel amounts to 36 percent (§ 2 Letter h Decree No. 133/2010).
  • Biodiesel is defined as fatty acid methyl ester (FAME) produced vegetable oil or animal fat with the properties of diesel fuel, intended to power internal combustion diesel engines (§ 2 Letter i Decree No. 133/2010).
  • Mixed fuel is defined as diesel fuel blended with at least 30 percent of FAME, a mixture of at least 70 percent bioethanol with petrol, and bioethanol with a maximum of 5 percent of processing additives, intended to power internal combustion engines (§ 2 Letter j Decree No. 133/2010).

Amount

Amount of quota and period of application

Since 1 June 2010, following minimum quantities for biofuel apply:

  • 4.1% by volume for petrol (§ 19 par. 1 Letter a Act No. 201/2012).
  • 6.0% by volume for diesel (§ 19 par. 1 Letter b Act No. 201/2012).

Adjustment of quotas

The quotas can be subject to further legal amendments.

Fees and penalty charges

The customs office imposes a fine to every fuel supplier failing to meet the obligatory volume of biofuels. The fine amounts to CZK 40 (approx. € 1.54) per litre of undelivered biofuel and has to be paid no later than within 30 days after receipt (§ 19 par. 10 Act No. 201/2012).

Addressees

The parties obliged are those who introduce petrol or diesel on to the Czech market for the purposes of transport (§ 19 par. 1 Act No. 201/2012).

Procedure

Process flow

  • Record keeping. Fuel suppliers are obligated to keep separate records of the amount of fuel (petrol, diesel or biofuel) received and produced, and of the amount of fuel removed from storage by stating the particular fuel type and biofuel share (§ 19 par. 8 Act No. 201/2012).
  • Annual reports to the customs office. Every year on 31 January, the supplier of fuel is obligated to submit a report to the competent customs office proving that it meets the obligation of introducing a minimum quantity of biofuels into free circulation (§ 19 par. 9 Act No. 201/2012). 

Competent authority

Czech Customs Office

Distribution of costs

Consumers

The costs are borne by the consumers.

Others

The obliged companies pass on the costs arising from the quota obligation to the consumers by adding a surcharge to their fuel price.

Czech Republic

Basic information on legal sources