Irish Government Extends Fuel Excise Duty Cut Until September 1, Phased Reintroduction Follows
The Irish Government extended fuel excise duty cuts until September 1, costing €270 million, but will gradually reintroduce full duties by December. This aims to ease the transition for hauliers and farmers. Opposition parties criticize the plan, warning of protests and deeming the increases unacceptable amid high living costs.
The Irish Government has extended existing excise duty reductions on petrol and diesel until September 1, costing an additional €270 million. This continues the current cut of 27 cent per litre on petrol and 32 cent per litre on diesel, which was set to expire on July 31.
However, a phased reintroduction of full excise duty will begin in September and conclude by December. For petrol, increases will be 9 cent on September 1, 8 cent on October 1, 5 cent on November 1, and 5 cent on December 1. For diesel, increases will be 10 cent on September 1, 8 cent on October 1, 7 cent on November 1, and 7 cent on December 1. Taoiseach Micheál Martin stated this phased approach aims to prevent a «cliff edge» removal of supports for hauliers and farmers, acknowledging ongoing volatility despite calmer conditions in the Strait of Hormuz.
Tánaiste Simon Harris noted the plan allows the Government to pass on commodity market reductions. Opposition parties, including Independent Ireland TD Richard O’Donoghue, Sinn Féin’s Pearse Doherty, Aontú leader Peadar Tóibín, and Labour, criticized the move, warning of renewed protests and calling for alternative measures like an excise duty cap or targeted energy credits. They argue the underlying issues of high energy costs remain unresolved and the increases are unacceptable amidst a cost-of-living crisis.