The Board of the NOx Fund has decided to increase the payment rates for 2019 as follows:
• High rate: 14.5 NOK per kg NOx (increases from 12 NOK per kg in 2018)
• Low rate: 8.5 NOK per kg NOx (increases from 6 NOK per kg in 2018)
High rates apply to oil and gas activities on the shelf subject to NOx tax. Low rates apply to all other activities (shipping, fishing, industry, aviation, rail) subject to NOx tax. By comparison, the fiscal NOx tax today is 21.94 NOK per kg NOx.
For the years 2020-2025, payment rates are expected to be flat at 16 and 11 NOK per kg NOx for high and low rates respectively. Note that the 2020-2025 rates have not been finally adopted, but are stated as expected values to give companies the best possible basis in budgeting and investment decisions. Final decision on the rates for these years is taken prior to each calendar year.
It was earlier (in 2017) communicated from the NOx Fund that it is expected that the rates will increase over the years 2019-2025 to a level of 15 and 10 NOK per kg NOx. The increase that has now been adopted is somewhat larger than previously indicated and is due to the need for increased income for the NOx fund. There is a need to increase the cash flow to the Fund for two main reasons: 1) the NOx reduction measures become more expensive than previously estimated, and 2) increased activity levels require larger NOx reductions than previously estimated to reach the emission targets in the NOx agreement 2018-2025.