Electricity in Belgian ports: lower taxes for docked ships in 2026

Key data

Shipping companies and port operators operating in Belgian ports face a concrete window of opportunity: electricity supplied directly to the vessel while docked—known as shore power or electrical supply from land—can benefit from a reduced tax rate in Belgium. This is established by the Council Implementing Decision (EU) 2026/1776, published on 21 July 2026 in the EU Official Journal.

The authorization is granted under Article 19 of Directive 2003/96/EC, which allows Member States to request fiscal exceptions in energy matters when there are reasons of environmental policy or general interest. In this case, the reason is clear: to reduce polluting emissions generated by diesel generators that ships keep running while in port.

What does this regulation establish?

The decision authorizes Belgium to fiscally separate electricity supplied to vessels in port from the general energy taxation regime, applying a reduced rate to it. This is relevant because, under Directive 2003/96/EC, electricity is subject to minimum taxation levels that Member States cannot unilaterally reduce without express authorization from the Council.

The key elements of the measure are:

• Beneficiary product: electricity supplied directly to vessels docked in port (shore power).
• Mechanism: reduced tax rate on that electricity, below the general rate applicable in Belgium.
• Legal basis: Article 19 of Directive 2003/96/EC, which allows fiscal exceptions for reasons of specific policy.
• Stated objective: to encourage the use of land-based electricity over the use of diesel generators on board, reducing polluting emissions in port areas.
• Political framework: European policy for decarbonizing maritime transport and improving air quality in ports.
• Direct geographical scope: Belgian ports. However, the decision establishes a precedent for other Member States that may request similar authorizations.

The regulation does not modify Directive 2003/96/EC itself, but rather grants an individual exception to Belgium within the framework that that directive already contemplates. The specific reduced tax rate that Belgium will apply is not specified in the published decision.

Economic and operational impact

For industry stakeholders, the impact translates into two distinct areas:

Reduction of energy costs in port. Electricity supplied from land will have a lower tax burden in Belgium. This directly reduces the cost of using shore power compared to keeping the ship's auxiliary engines running on diesel. Given that marine diesel is also subject to energy taxation—and that diesel generators are less efficient than the electrical grid—the combination of both factors makes shore power economically more attractive with this measure.

Stimulus for investment in electrical connection infrastructure. The tax reduction acts as a market signal for port operators to invest in shore power facilities. Without economically viable demand, investment in port electrical infrastructure lacks return. With the reduced rate, the calculation changes favorably.

Precedent for other Member States. The decision is not only relevant for Belgium. Any Member State that wants to replicate this measure now has a reference case before the Council. For shipping companies operating in multiple European ports, this can anticipate progressive harmonization of shore power taxation in the EU.

Who does it affect?

• Port operators in Belgium: those managing electrical supply facilities to vessels are the first direct beneficiaries. The measure improves the competitiveness of their shore power offering.
• Shipping companies calling at Belgian ports: reduction of energy costs during port stay, especially in long or regular calls.
• Electricity suppliers in Belgian ports: may see increased demand for their service as it becomes fiscally more competitive compared to diesel.
• Port operators in other EU countries: indirectly, as a reference for requesting equivalent authorizations in their respective Member States.
• Shipping companies with fleets in multiple European ports: must monitor the evolution of similar measures in other countries to optimize their energy and cost planning.

Practical example

A cargo shipping company that makes regular calls at the Port of Antwerp currently keeps its auxiliary generators running during port stay, consuming marine diesel to cover the ship's electrical needs (lighting, cargo refrigeration, on-board systems).

With the entry into force of the fiscal reduction on shore power in Belgium, connecting to the port's electrical grid becomes cheaper from a fiscal perspective, as electricity supplied from land is taxed at a reduced rate. If the shipping company already has the necessary connectors on board—or decides to install them—it can transfer that consumption to the port electrical grid, reducing both energy costs and local emissions during the call.

For the port operator, this measure strengthens the commercial argument for investing in electrical connection points at the docks: demand for shore power increases when its fiscal cost is competitive compared to diesel.

What should companies do now?

1. Shipping companies calling at Belgian ports: review whether fleet vessels have connectors compatible with shore power facilities available at the ports of Antwerp, Ghent, Zeebrugge or Liège. If not, evaluate the cost of adaptation against expected tax savings.
2. Port operators in Belgium: update the profitability analysis of investments in dock electrical infrastructure, incorporating the new fiscal scenario. The reduction in the tax rate improves the expected return on these facilities.
3. Electricity suppliers in Belgian ports: prepare commercial offers that reflect the fiscal advantage of shore power over diesel, to capture additional demand from shipping companies.
4. Port operators in other EU Member States: analyze whether it is appropriate to request an equivalent authorization from the Council under Article 19 of Directive 2003/96/EC, using the Belgian decision as a precedent.
5. All stakeholders: be alert to the publication of the specific reduced tax rate that Belgium will apply, as the Council decision authorizes the measure but the exact rate will be set by Belgian implementing legislation.

Official source

Consult complete regulation in official source

Disclaimer: This article is for informational purposes only and does not constitute legal advice. For specific decisions, consult a qualified professional. Source: https://eur-lex.europa.eu/./legal-content/AUTO/?uri=OJ:L_202601776