Tax regulation mechanism

Updated: 10.01.2019

Author: Boris Valach

Since 2011, the support of fuel from renewable energy sources has taken the form of a reduced rate of excise duty on diesel or petrol if it contains the minimum proportion of biofuels set for diesel and petrol. Mineral oil solely from biogenic material is exempt from mineral oil tax (§ 10 par. 3 Act No. 98/2004). In 2018, new favourable tax rates on mineral oil containing biogenic substance were introduced. 

Eligible technologies

Subject to the tax allowance are only biofuels.


In § 4 par. 7 Act No. 98/2004 Letter a-e ”biogenic substance” is defined as liquid or gaseous biogenic substance produced from biomass, which is either

  • biodiesel produced from vegetable oil or animal fat or used waste oil of vegetable or animal origin,
  • pure vegetable oil, crude or refined, but chemically unmodified,
  • bio-ETBE (ethyl-tert-butyl-ether): 47% ETBE produced from bioethanol,
  • bioethanol, containing at least 99.7% alcohol by volume, or
  • advanced biofuel defined by § 14f of RES Act.


In case of gas oil, a tax rate of € 368 per 1,000 litres may be provided in the period of 1 January 2018 to 31 December 2020 only if it contains biodiesel in the volume of 6.9% or more, or biodiesel in the volume of 6.4% or more as well as a biogenic substance (i.e. advanced biofuel) in the amount of 0.5% or more. From 1 January 2021, the same tax rate should be applied on gas oil if a biogenic substance (i.e. advanced biofuel) equals or is higher than 1% (§ 7 par. 2 Act No. 98/2004). According to the last amendment (Act No. 268/2017 Coll.) to the Act No. 98/2004, a tax rate of € 514 per 1,000 litres may be applied, if at least the minimum volume of biofuel in petrol in the years 2018-2022 is met as provided below. These tax rates may be applied only if the biogenic substance meets the sustainability criteria (§ 7 par. 4 Act No. 98/2004).

Bioethanol component (§ 7 par. 3 Act No. 98/2004) 5.9%6.2%7.4% and advanced biofuel in the volume of 0.5%
Biogenic substance (i.e. advanced biofuel)1%1.5%


Entitled party: End consumers of biofuels, resp. fuel producers. The person entitled to use taxes of € 514, resp. € 368 is obliged to demonstrate to the custom office that the biogenic substance fulfils the sustainability criteria (§ 7 par. 4 Act No. 98/2004).


Competent authority

Ministry of Environment of the Slovak Republic

Distribution of costs


The costs of the tax exemption are borne by the state, which receives lower tax revenue.


Further information

  • Ministerstvo životného prostredia Slovenskej republiky (MŽP SR) – Ministry of Environment of the Slovak Republic
  • Stanislav Jurikovič
  • +421 259 561 111
  • MŽP website
  • info(at)

Basic information on legal sources