Tax regulation mechanisms (Exemption of Electricity Tax)

StromStG 2021

In Germany, electricity is subject to the electricity tax defined in the StromStG, except the island Helgoland. Electricity from renewable energies and energy from combined heat and electricity power plants with a capacity of over 2 MW that is consumed in proximity of the plant, is exempted from this tax (§ 9 par. 3 StromStG 2021). Also exempt is the electricity produced from renewable sources with a capacity of more than 2MW if used directly on the site.

The regular tax rate is set at EUR 20.50 per MW.

Energy producers, consuming their own electricity from renewable sources (StromStG 2021, paras 2, 2 and 9, 1) and consumers, consuming electricity from renewable sources in proximity of the plant (§ 9 par. 3 StromStG 2021) can benefit from the exemption.

Taxpayers must submit their tax declaration calculating and predicting a comprehensible amount. Differences to the actual amount will be reimbursed (§ 8 StromStG 2021)

The Federal Ministry of Finances executes this law.