Fuel sector leaders are urging the government to recall the Dáil and stop the planned fuel excise increase.

The government cut fuel excise earlier in the year in response to the war in the Middle East between the US and Iran and the resulting closure of the vital Strait of Hormuz in the Persian Guld.

This cut off fuel transport from the much of the region, resulting in large increase to fuel costs around the world.

The measures introduced by the government resulted in an excise duty cut of 27c/L on petrol and 32c/L on diesel.

In late June, the government confirmed a timeline for the reintroduction of the full rate of excise; however, prices are still at significantly elevated rates compared to pre-war prices.

According to Kevin McPartland, chief executive, Fuels for Ireland based on latest research people living in rural areas could be harder hit by the planned fuel excise increase.

McPartland pointed to research that suggests that people in rural communities tend to drive on average about twice as many kilometers every year as those living in urban areas.

He also highlighted that nine per cent of homes in Dublin use oil for their heating compared to more than 80% in rural Ireland.

According to McPartland this means that if the fuel price subsidies are removed the impact would "definitely be more greatly felt in rural Ireland than in urban Ireland". 

Fuel protests

The chief executive of Fuels for Ireland believes the Dáil should now be recalled in order to ensure fuel "does not go over €2 a litre on September 1".

He said that the €2 a litre is "politically extremely challenging" because he said that is a "red flag to protesters".

McPartland said he is concerned that the country is now "sleepwalking into a repeat of the dreadful mistakes that were made back in the spring".

"They need to press pause on everything which is going to increase the price of fuel between now and budget day and they need to bring a group together and I don't just mean a group of people from the fuel industry,  I'm also talking about environmental experts, but also people from the particularly impacted industries haulage, agricultural contractors, coach operators those sorts of people.

"You also need some input from specifically rural island because the impact is felt differently and more deeply in rural Ireland than in urban Ireland and we need to be thinking about what is it we are trying to achieve with taxation and compliance costs on fuel," McPartland added.

Fuel price rise

Separately the leader of Independent Ireland, Michael Collins today (Monday, August 17) said if the government goes ahead with another fuel price increase in September it would be "a disastrous move for families, farmers, hauliers and businesses".

Deputy Collins also highlighted that people living in rural Ireland will be more impacted by any increase in the cost of fuel particularly because they do not have a public transport sector to rely on.

He added: The government has the ability to stop this.

"If it takes the Dail to be recalled early then that is what has to be done, Irish people are struggling as it is and have been taxed enough.”