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Wood briquettes are new renewable source of heat for home heating, alternatrive to firewood and fossil fuels, used in open fires, wood burning stoves, wood fired cookers and other enclosed appliances. As a renewable - eco fuel and green source of heat the wood briquettes are not liable to carbon tax. The new carbon tax at a rate of €15 per tonne has been introduced on all fossil fuels. The tax will apply to petrol and auto-diesel with effect from midnight, 9 December 2009; and from 1 May 2010 to Kerosene, Marked Gas Oil, Liquid Petroleum Gas (LPG), Fuel Oil and Natural Gas. The application of the tax to coal and commercial peat is subject to a Commencement Order. Further information on the carbon tax is set out at Annex E which is available on www.budget.gov.ie.
The above changes will lead to higher expenses for most common solid fuels in Ireland as they become more expensive and the price of peat briquettes and coal will be driven up respectively with 39 cents per bale and €1.79 per 40kg bag. The impact of the changes as per the budget unveiled by the Minister for Finance on Wednesday, 9 th December 2009 is illustrated in the table below.