View of the town of Kralupy nad Vltavou from Hostibejk in August 2025
View of the town of Kralupy nad Vltavou from Hostibejk in August 2025Photo: Vojtasekd, 2025 · CC BY 4.0 · Wikimedia Commons

Kralupy nad Vltavou is home to a refinery owned by Orlen Unipetrol [1][2]. Along with the refinery in Litvínov, it is one of two companies in the Czech Republic that, under a government bill being debated in the Chamber of Deputies since 13 October 2026, would be subject to a windfall tax on the increase in refinery margins [1][2].

Proposal for the windfall tax

The government justifies the proposal by citing the growth in refinery margins linked to the situation on the global oil market [1][3]. Finance Minister Alena Schillerová said this is a sector profiting from the global rise in refinery margins, which she said are at record levels [2][3]. According to the government's estimate, the tax could bring between CZK 5.5 and 9 billion into the state budget in 2026 [1][2][3].

Under the proposal, the tax would apply to companies with total annual revenues of at least CZK 2 billion that also earn at least CZK 50 million a year from refining activities [1][2]. The tax base would be calculated as the difference between revenue from the sale of own products and the cost of oil consumed [1][2].

Schillerová said the government was inspired by a similar tax in Poland, where, according to her, it stands at 60 percent [2][3]. She also stated: „We will do everything to have it approved by the end of 2026 as an absolute priority, because those profits were generated precisely in 2026.“ [2][3]

Orlen Unipetrol's position and political reactions

According to Orlen Unipetrol, which owns both refineries, the tax threatens further investment in the development of Czech refineries and the stability of the fuel market [1][2]. The Confederation of Industry and Transport called on the government to abandon the plan, or at least soften its parameters [1].

The opposition ODS considers the proposal contentious, with its representatives saying it could lead refineries to pass higher costs on to prices [1]. The opposition movement STAN does not criticize the taxation of refineries, but its representatives say it is necessary to ensure the tax actually brings money into the state budget [1].

Chronology

  • — The Chamber of Deputies began debating a government bill on a windfall tax on rising refinery margins, which would mainly affect the companies in Litvínov and Kralupy nad Vltavou. → Czech News Agency / České noviny iDNES.cz

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Sources

  1. ČTK / České noviny — 13 October 2026
  2. iDNES.cz — 13 October 2026
  3. Lidovky.cz — 13 October 2026