(1) Mineral oil tax shall be charged at the rates specified in Schedule 2.

(1A)

(a) Where a rate is specified in Schedule 2A for any description of mineral oil, that rate, referred to in this Chapter as the 'carbon charge', is included in the rate of tax specified in Schedule 2 for that description of mineral oil.

(b) The rate of tax per 1,000 litres specified for each description of mineral oil, other than vehicle gas in Schedule 2A, is in proportion to the emissions of CO₂ from the combustion of the description of mineral oil concerned.

(c) The rate of tax per megawatt hour at gross calorific value specified for vehicle gas in Schedule 2A is in proportion to the emissions of CO₂ from the combustion of natural gas.

(1B) The rate per 1,000 litres specified for each description of mineral oil, other than vehicle gas, in Schedule 2A is in proportion to the emissions for the description of mineral oil concerned, and is determined by the formula -

NCV × EF × A

where -