Taoiseach Leo Varadkar has ruled out pausing planned hikes in the cost of fuel prior to the next budget, according to independent TD Carol Nolan.
As part of Budget 2024 the Minister for Finance, Michael McGrath, outlined that temporary excise rate reductions – which had been introduced in 2022 in response to higher fuel prices caused by the war in Ukraine – would end on March, 31, 2024.
This means that from April 1, 2024 there will be an increase of 4c/L on petrol, 3c/L on diesel, and 1.5c/L on marked gas oil (green diesel).
A further increase of 4c/L on petrol, 3c on diesel, and 1.5c on marked gas oil is planned for August.
Fuel
Deputy Carol Nolan said that there will be four hikes in excise duty on fuel over the next 12 months.
She said that this will add around 15c/L to the cost of petrol and around 12c/L to diesel.
The Laois-Offaly TD called on Leo Varadkar to consider postponing the increase until the next budget given the adverse impact the increases would have on motorists, hauliers, agricultural contractors and farmers.
“The Taoiseach says that while he appreciates the prices at the pump are rising and that this will impact commuters, motorists and many people in business, including hauliers, he is still prepared to do nothing about it beyond monitoring the prices over the next couple of months.
“That is cold comfort indeed,” Deputy Nolan said.
“We know from the Consumers’ Association of Ireland that the yield from VAT, excise duty and other levies on motor fuels amounted to around €6 billion last year.
“That should more than allow for a degree of flexibility to be introduced around postponing the planned increases in tax.
“We ought to remember that people are not asking for a 0% rate of tax here and that even if the reduced rate of costs was kept this would still mean an annual yield of several hundred million alone from petrol and diesel,” the TD added.