Taxes on electricity and natural gas
Electricity
The following tax regime is foreseen for electricity, consisting of:
- Excise duty (consumption tax): it is differentiated by consumption brackets and/or type of use;
- Value Added Tax (VAT): It is applied to the total amount of the invoice (including excise tax).
The municipal and provincial surtaxes also for the regions with special statutes and for the autonomous provinces have been abolished starting from 1 April 2012 by the Legislative Decree of 2/3/2012, n. 16. Paragraph 10 of art. 4 of this decree established that the lower revenue for local authorities is to be reintegrated by the respective regions with special statutes and autonomous provinces of Trento and Bolzano with the resources recovered as a result of the lower contribution of the same to public finances established by paragraph 11.
The law (26 April 2012, n. 44) converting Legislative Decree 2/3/2012 n. 16 changed the excise duties on electricity for "Other uses" that had been formulated in the two decrees of the Ministry of Economy and Finance of 30/12/2011.
The new rates for "Other uses", shown in the table, came into force on 1 June 2012.
| EXCISE DUTY - State tax | €cents/kWh |
| DOMESTIC USES Supplies for registered residence dwelling ("first home") • Supplies up to 3 kW* - Consumption up to 150 kWh/month - Consumption over 150 kWh/month • Supplies over 3 kW Supplies for non-residents ("second homes") | 0 2,27 2,27 2,27 |
| PUBLIC LIGHTING • Supplies with any level of consumption | 1,25 |
| OTHER USES Supplies up to 1,200,000 kWh/month - First 200,000 kWh consumed in the month - Consumption over 200,000 kWh per month Supplies over 1,200,000 kWh/month - First 200,000 kWh consumed in the month - Consumption over 200,000 kWh per month | 1,25 0,75 1,25 |
| VAT | Rate |
| DOMESTIC USES and similar - Condominium services (residential buildings) | 10% |
| PUBLIC LIGHTING | 22% |
| OTHER USES - For use by mining, agricultural and manufacturing enterprises including printing, publishing and similar, operation of irrigation systems and water lifting and drainage by Land Reclamation Consortia and Irrigation Consortia - Other activities | 10% 22% |
* In the case of supplies with contracted power up to 1.5 kW: if you consume up to 150 kWh/month, taxes are not applied.
If you consume more, the tax-free kWh are gradually reduced.
In the case of supplies with contracted power over 1.5 kW and up to 3 kW: if you consume up to 220 kWh/month, taxes are not applied to the first 150 kWh. If you consume more, the tax-free kWh are gradually reduced.
Natural gas
The following tax regime is foreseen for natural gas, consisting of:
- Excise duty (consumption tax): differentiated by consumption brackets, geographical area and type of use;
- Regional surcharge: it is foreseen only for the Regions with ordinary statutes and is determined by each Region (or regional substitute tax for users exempt from the national consumption tax);
- Value Added Tax (VAT): It is applied to the total amount of the invoice (including excise tax and regional surcharge).
| TAXES | CIVIL USES | INDUSTRIAL USES | ||||
| Annual consumption range | < 120 m3 | 120-480 m3 | 480-1,560 m3 | > 1,560 m3 | < 1.2 M(m)3) | > 1.2 M(m3) |
| EXCISE DUTY | €cents/m3 | €cents/m3 | €cents/m3 | €cents/m3 | €cents/m3 | €cents/m3 |
| Normal | 4,4000 | 17,5000 | 17,0000 | 18,6000 | 1,2498 | 0,7499 |
| Territories formerly part of the Cassa del Mezzogiorno(TO) | 3,8000 | 13,5000 | 12,0000 | 15,0000 | 1,2498 | 0,7499 |
| REGIONAL ADDITIONAL(B) | €cents/m3 | €cents/m3 | €cents/m3 | €cents/m3 | €cents/m3 | €cents/m3 |
| Piedmont | 2,2000 | 2,5800 | 2,5800 | 2,5800 | 0,6249 | 0,5200 |
| Veneto | 0,7747 | 2,3241 | 2,5823 | 3,0987 | 0,6249 | 0,5165 |
| Liguria | ||||||
| – climate zones C and D | 2,2000 | 2,5800 | 2,5800 | 2,5800 | 0,6249 | 0,5200 |
| – climate zone E | 1,5500 | 1,5500 | 1,5500 | 1,5500 | 0,6249 | 0,5200 |
| – climate zone F | 1,0300 | 1,0300 | 1,0300 | 1,0300 | 0,6249 | 0,5200 |
| Emilia-Romagna | 2,2000 | 3,0987 | 3,0987 | 3,0987 | 0,6249 | 0,5165 |
| Tuscany | 2,2000 | 3,0987 | 3,0987 | 3,0987 | 0,6000 | 0,5200 |
| Umbria | 0,5165 | 0,5165 | 0,5165 | 0,5165 | 0,5165 | 0,5165 |
| Marche | 1,5500 | 1,8100 | 2,0700 | 2,5800 | 0,6249 | 0,5200 |
| Lazio | ||||||
| – territories formerly part of the Cassa del Mezzogiorno(TO) | 1,9000 | 3,0990 | 3,0990 | 3,0990 | 0,6249 | 0,5160 |
| – other areas | 2,2000 | 3,0990 | 3,0990 | 3,0990 | 0,6249 | 0,5160 |
| Abruzzo | ||||||
| – climate zones E and F | 1,0330 | 1,0330 | 1,0330 | 1,0330 | 0,6249 | 0,5160 |
| – other areas | 1,9000 | 2,3241 | 2,5823 | 2,5823 | 0,6249 | 0,5160 |
| Molise | 1,9000 | 3,0987 | 3,0987 | 3,0987 | 0,6200 | 0,5200 |
| Campania | 1,9000 | 3,1000 | 3,1000 | 3,1000 | 0,6249 | 0,5200 |
| Apulia | 1,9000 | 3,0980 | 3,0980 | 3,0980 | 0,6249 | 0,5165 |
| Basilicata | 1,9000 | 2,5823 | 2,5823 | 2,5823 | 0,6249 | 0,6249 |
| Calabria | 0,5165 | 0,5165 | 0,5165 | 0,5165 | 0,5165 | 0,5165 |
| VAT RATE (%) expressed in cents €/m3 | 10 | 10 | 22 | 22 | 10 (C) | 10 (C) |
(TO) These are the territories indicated by the decree of the President of the Republic of 6 March 1978, n. 218.
(B) The regional surcharge applies to consumption in regions with ordinary statutes; it does not apply in regions with special statutes. The Lombardy Region has not applied the surcharge since 2002 (Regional Law 18 December 2001, no. 27). Furthermore, the regional surcharge and the substitute tax do not apply to consumption for: motor vehicles; production and self-production of electricity; armed forces for permitted uses; embassies, consulates and other diplomatic offices; recognized international organizations and members of such organizations, within the limits and under the conditions established by the relevant conventions or agreements; uses considered outside the scope of application of excise duties.
(C) Rate for mining, agricultural and manufacturing enterprises; for other enterprises the rate is the ordinary one.
