The annual obligation is a mandatory share of renewable energy in a company’s fuel deliveries, which increases annually. The annual obligation is expressed as a number of HBEs. In order to comply with its annual obligation, a company must ensure in good time that it has an adequate number of the relevant HBEs available in its REV account.

Mandatory shares

For 2023, the total mandatory share of renewable energy has been set at 18.9% of the energy content of the deliveries for final consumption. In the years that follow, the mandatory share gradually increases to 28.0% in 2030.

In order to comply with the annual obligation, the use of advanced biofuels (from waste/residues) must reach a minimum share and the use of conventional biofuels (from food or feed crops) and biofuels from used oils and fats (specified in Annex IX, Part B, of the Renewable Energy Directive) must not exceed maximum shares.

The following table lists the mandatory shares, the subtargets and the limits:

202220232024202520262027202820292030
HBE total17.9%18.9%19.9%21.0%22.3%23.6%25.0%26.5%28.0%
Min. share advanced1.8%2.4%2.9%3.6%4.2%4.9%5.6%6.3%7.0%
Max. share conventional1.4%1.4%1.4%1.4%1.4%1.4%1.4%1.4%1.4%
Max. share IXB10.0%10.0%10.0%10.0%10.0%10.0%10.0%10.0%10.0%

The shares listed above apply to the energy content of the fuel deliveries coming under the scope of the annual obligation: the ‘deliveries for final consumption’ (see below). Companies must enter the deliveries for final consumption in litres. The specified volume is then converted to an amount of energy in order to calculate the level of the annual obligation. This conversion takes place automatically in the REV, using the net calorific value of each fuel (which is taken from the Renewable Energy Directive or, in the case of heavy fuel oil, established by the company itself).

Annual obligation expressed as HBEs

Multiplication of the mandatory shares and the energy content of the deliveries for final consumption yields an energy value. This is subsequently used to express the annual obligation in a number of Renewable Energy Units (HBEs), with one HBE required for each gigajoule (GJ) calculated.

One HBE is awarded for each gigajoule (GJ) of renewable energy delivered to the Dutch market or transport market that is registered in the REV.

As a result of the sub target for advanced biofuels and the limits on conventional biofuels and fuels from used fats and oils, the annual obligation is expressed using the four types of Renewable Energy Units:

  1. HBE Advanced
  2. HBE Conventional
  3. HBE Annex IX-B
  4. HBE Other

The feedstock of the biofuels and the type of renewable energy registered determine the type of HBE that is created.

Understanding the level of the obligations

From April 2023 onwards, companies can use the REV to gauge the level of the obligations for 2023. They can do this by entering the expected fuel deliveries for 2023 in the REV.

Using the fuels entered, the mandatory percentages and limits related to the annual obligation and the HBE reduction contribution, the REV will calculate the number of HBEs required for both the annual obligation and the reduction obligation. This allows companies to see which of the two obligations will require the most effort. Companies can obtain this information under ‘Indication of annual obligation / obligation to reduce emissions’ or ‘Home’ in the REV menu.

Companies that do not have access to the REV yet, or wish to know the level of the obligations sooner, can use this document (Dutch) to establish this. They can obtain an indication by filling in the expected fuel deliveries for 2022.