For many, the decision taken by the government at the end of March to stop extracting natural gas at Groningen was monumental.

This widespread support is vital to achieving a successful transition. Then you may be able to create a heating network, in which the residual heat of the company keeps the houses warm. We are still working to define exactly how the transition process will unfold. Government support for fossil fuels extends beyond measures provided through lower taxation on energy use. In many cases, the choice will be between district heating and fully electric heating systems. Knowing exactly how many cubic metres of gas must be saved per municipality is crucial to guarantee an effective response.



IEA support includes annual country-by-country estimates of global fossil-fuel consumption subsidies and analysis of the impacts of pricing reforms.

Citizens’ objections to the cost of the transition are not necessarily unjustified, considering that – according to research carried out by Ecorys for the campaign group – the costs are unevenly distributed and hit those with lower incomes the most. Of course, it is unlikely that in practice the process will be quite as simple as Wiebes has suggested with his gas-reducing measures. Private subscriptions are available now for €20 a year. As some of these measures are mandatory under the EU ETD, they are not included in tax expenditures reports of the Netherlands and therefore not subjected to the periodic evaluation process. Key priorities include minimising inconvenience to residents and ensuring that residents’ energy costs do not rise. The steps being taken by Amsterdam’s city government and its partners to phase out natural gas are described in a strategy document entitled ‘Towards a city without natural gas' (PDF, 2,7 MB) (in Dutch).

preferential tax treatment to different sectors will depend on a concerted EU effort and better alignment of tax policy with the EU’s Emission Trading System (ETS). The finalised NECP was delivered to the European Commission at the end of 2019. Groningen produces low calorific gas (L-gas), which covers a significant share of gas demand in the Netherlands, Belgium, and bordering regions of France and Germany, and is particularly important for meeting seasonal heating demand. It is aware, however, of the challenges of going completely gas-free and has published a guide for the residential sector to help with the transition. Out of 8 million Dutch households, 7 million are currently connected to the gas network in Groningen – a figure which hints at the vast amount of work it will take to make the complete switch from natural gas to alternative sources of energy. “According to the Paris Climate Agreement, the entire Dutch housing stock must be climate-neutral by 2050.

Municipalities must also be given the space and financial means to realise these aims.

Thank you for subscribing. The scope of the review accounts for both direct budgetary transfer and tax measures that result in government revenue forgone. The Netherlands draft NECP stated that the country does not have any subsidies for the consumption of energy from fossil fuels, but that some exemptions to energy taxation and lower rates may actually result in higher consumption of fossil fuels.

The ambition to switch to more sustainable energy sources is shared by Amsterdam’s residents, housing corporations, energy suppliers, network administrators and city government. Find out about the world, a region, or a country, Find out about a fuel, a technology or a sector, Explore the full range of IEA's unique analysis, Search, download and purchase energy data and statistics, Search, filter and find energy-related policies, Shaping a secure and sustainable energy future, Clean Energy Ministerial Hydrogen Initiative, Clean Energy Transitions in Emerging Economies, Global Commission for Urgent Action on Energy Efficiency, https://www.rvo.nl/sites/default/files/2020/01/NL-EITI%20rapport%202017.pdf. By 2020, it is estimated that 102,000 homes in Amsterdam will make use of ‘district heating’: heat networks that distribute hot water to homes, offices, and other buildings. As part of the G20 commitment to phase-out inefficient fossil-fuel subsidies that encourage wasteful consumption, several G20 member countries volunteered to undergo a peer review of their fossil-fuel subsidies. These include Amsterdam gas-free  (in Dutch)  and the Amsterdam Climate and Energy Fund (ACEF) (in Dutch). At the request of the government of the Netherlands, the OECD and the IEA helped facilitate a national review of fossil-fuel subsidies in consultation with other stakeholders. Newly developed regions of the city are no longer being connected to the gas grid. Although the burden sharing between households and companies has changed recently, energy taxes in the Netherlands are still very degressive, translating into a heavier tax burden on households and other small-scale energy consumers.

Newly developed regions of the city are no longer being connected to the gas grid. Natural gas extraction from the Groningenveld gas field will be terminated. A spokesperson for the Deventer Energie Coöperatie said that an information evening about going gas-free was swiftly booked up and that it is “now going to organize a second meeting. In support of this review the government of the Netherlands produced a self-report (NSR) identifying 13 individual fossil-fuel subsidy measures in the form of tax exemptions or reductions, benefitting both the production and consumption of fossil fuels.

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The Netherlands, as an Invited Guest Country under G20 presidencies, looked to apply the peer review framework to evaluate its own fossil-fuels subsidies and identify opportunities for reform. It says that there are question marks regarding older buildings about who will pay for the transition and how it will be carried out; an effective dialogue must be set up to deal with this. The OECD and IEA has been supporting the commitments that countries’ leaders made under the G20, APEC, and G7 to “phase out and rationalize over the medium term inefficient fossil fuel subsidies that encourage wasteful consumption.” OECD support includes the periodic release of the Inventory of Support Measures for Fossil Fuels, which uses data obtained from government sources to produce estimates of budgetary transfers and tax expenditures used to support fossil-fuel production and consumption.

Alliander, the grid operator that handles the distribution of much of the energy in the Netherlands, has been arguing for alternatives to the thousands of homes in Gelderland and hundreds in Flevoland that were fitted with gas connections.

China, Germany, Indonesia, Italy, Mexico, and the United States were the first six countries to participate in such an undertaking. Rapport 2017; Nederland Extractive Industries Extractive Industries, https://www.rvo.nl/sites/default/files/2020/01/NL-EITI%20rapport%202017.pdf, Keep up to date with our latest news and analysis by subscribing to our regular newsletter. In Deventer, the municipality has been working hard to build support for gas-free alternatives. This peer review also answers to the European Commission recommendation requesting its Member States to “list all energy subsidies, including in particular for fossil fuels, and actions undertaken as well as plans to phase them out” in their respective National Climate and Energy Plans (NECPs).
This report is the principal outcome of this peer review process, reflecting the IEA and OECD review team's in-person discussions with officials from the Netherlands, but also deliberations among the review team and consultations with stakeholders. The Dutch Cabinet, therefore, is taking measures for natural gas extraction from this gas field to be reduced to zero, as soon as possible.

On September 30, 2020, the City adopted the Heat Transition Vision. Though people can find The Holland Times at many locations in The Netherlands we more and more often get questions about the possibility for a private subscription (only for The Netherlands). Several exemptions and reductions are granted to energy-intensive industries and other energy-consumer groups.

As part of its budgetary planning process, the government of the Netherlands conducts periodic policy evaluations of its tax expenditures and subsidy programmes. This will be done through a gradual transition of around 30,000 to 50,000 homes per year until 2022, from which date the process will be accelerated to 200,000 homes a year.
But the broader outlines of the plan are already coming into focus. The planned 2020 evaluation of energy taxation is an opportunity for the Netherlands to identify reform options. Private subscriptions are available now for €20 a year. Natural gas is a major source of CO2 emissions, which cause climate change.

In the first place it advocates for clear rules and objectives from the government. Out of 8 million Dutch households, 7 million are currently connected to the gas network in Groningen – a figure which hints at the vast amount of work it will take to make the complete switch from natural gas to alternative sources of energy. For this amount you will receive 10 editions of The Holland Times after you paid the invoice which you will receive in your email box. A main reason the government of the Netherlands invoked for maintaining low effective tax rates on energy-intensive users is to provide an international level playing field for their domestic industries and reduce the risk for carbon leakage. You can find the Holland Times Newspaper amongst others to embassies, Consulates, International organisaties, internationally oriented companies, hospitals, medical clinics, sports clubs, international schools, hotels, house brokers, financial institutes, expat centers, restaurants, libraries, children day care centers, language schools, social clubs, movies houses and specifies shops focused on expats.


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