Mayo TD demands suspension of carbon tax during Iranian war crisis
A Mayo Oireachtas member has appealed to the government to reduce the cost of fuel during the Iranian war crisis 'to give our businesses and consumers a break and to try to keep down the cost of living in Ireland'.
Deputy Paul Lawless elaborated: "This crisis in the Middle East is going to cause devastation right across Ireland as a result of its impact on the cost of living.
"The price of home heating oil has increased by almost 50% in recent days.
"I have been speaking to hauliers and logistics companies and they have been telling me about increases of 10 cent and 20 cent per litre of fuel. It is an extraordinary cost.
"There is price gouging going on here and that must be examined. These prices shot up overnight despite the fact that the oil and the fuel in the pumps had been purchased prior to this crisis.
"This is an issue and it has happened before. This price gouging is not new. It must be investigated. We cannot allow opportunism in this situation.
"I welcome the fact the Taoiseach recently outlined that he is concerned about price gouging and has recommended that the CCPC take a look.
"However, what about the government's price gouging?
"What about the fact the cost of fuel is rising year on year?
"It is excessive and wrong. Aontú was the only party in government to vote against the Climate Action Bill and we did so because it locked Ireland into increasing carbon tax.
"Irrespective of this crisis and what is going to happen to the cost of fuel over the coming weeks, the government has committed to increasing carbon tax.
"This is despite the fact we do not know what the cost of fuel is going to be. That is wrong.
"We have to give rural Ireland and the logistics companies a break.
"The truth is that we are an island country with a rural population, particularly along the west coast.
"Every single piece of food in our shops comes on the back of a lorry.
"Every item of clothing we wear comes on the back of a lorry.
"Literally everything a household needs comes on the back of a lorry.
"The government's quest to drive up the cost of fuel directly correlates with the cost of living. We cannot afford this any more.
"The cost of living is rising very high and the cost of fuel is a significant and direct contributor to that.
"On behalf of all of the people across Ireland who are struggling to pay their bills, I urge the government to suspend carbon tax and to reduce the cost of fuel during this crisis.
"In the past decade, this government has taken more than €35 billion in tax on fuel, and a significant portion of that comes from carbon tax.
"With regard to the tax take, the trajectory is extraordinary.
"Although there was a slight reduction during the Ukrainian situation, in monetary terms the rise is on a significant upward trajectory. Let us take carbon tax as an example.
"In 2019, the government took in €360 million. Last year, in 2024, that figure rose to €920 million, and it is going to continue to rise for 2025 and 2026.
"Carbon tax levied on natural gas raised €64 million in 2020, rising to €125 million in 2024. That is a doubling of the tax take.
"I ask the government to suspend the increase in carbon tax that is going to come into play in May of this year, just a couple of months away.
"The tax burden on fuel must be reduced. Carbon tax must be suspended until this crisis is over. Commuters cannot afford it any longer. We have already had increases in tolls in recent years.
"There are many parts of Ireland where motorists are hit with a number of tolls on the way to work. Haulage companies cannot afford this. They tell me they cannot take the hit and will pass on this increase.
"Who will be disproportionately affected?
"The answer is consumers who are already struggling. There are so many people struggling.
"I talk to rural commuters all the time. They ask what alternative they have.
"If you are living in Ballyhaunis and working in Castlebar, living in Newport and working in Westport or living in Killala and working in Ballina, you do not have the option of getting a bus. Buses are simply not an option.
"You cannot get to work on time and get home to collect your kids. You have no alternative to the car. This is an act against the Irish people. This is wrong.
"We cannot continue to subject Irish people to increasing costs, irrespective of what that future cost will be."