Border Fuel Stations Face Abuse, High Taxes, and Cross-Border Price Disparities
Border fuel station owner Colin Fee faced abuse during recent protests, attributing high prices to government excise duties. Retailers contend with high taxes, regulatory costs, and cross-border price disparities, with Northern Ireland often cheaper for goods. Despite rising costs, people continue to drive, passing increased expenses to consumers.
Colin Fee, owner of Maxol filling station in Dundalk, Co Louth, experienced customer abuse during last month’s fuel price protests. He highlights that €1.20 of every €2 spent on fuel goes to the government in excise duty, leaving 80 cent to cover all other costs including Maxol, transport, and shipping from Rotterdam.
Fuel retailers along the Irish Border face unique challenges. While recent government excise changes have made diesel cheaper in the Republic, petrol remains more expensive than in Northern Ireland. Industry representatives, like Kevin McPartlan of Fuels for Ireland, state that high taxes and regulatory compliance costs, including EU rules on bioethanol and biodiesel, are the main issues, not currency shifts.
Colm McKenna, who closed his Texaco station in Muff, Co Donegal, a year ago, believes the March fuel price peak will return due to the US-Iran conflict. Hugh Morgan of Morgan Fuels, operating for 45 years, argues the carbon tax should be abolished and dismisses climate change concerns. He notes a significant price gap in home kerosene, with the Republic charging up to €1.60 per litre compared to less than £1 (€1.16) in the North, leading to untaxed cross-border movement.
David Blevings of the Irish Petrol Retailers Association explains that Northern stations retain an advantage due to cheaper groceries, drinks, and no bottle return charges. The British government’s 2022 excise cut of five pence per litre, implemented after the Ukrainian conflict, has not been reversed. Rural filling stations are vital community hubs, offering services beyond fuel. Despite rising costs, people still need to drive for work and school, with higher transport costs ultimately passed on to consumers.