Hauliers and AA seek reduction in fuel tax

The Government will face calls today to reduce the amount of tax it imposes on fuel as world oil prices surge to levels not seen…

The Government will face calls today to reduce the amount of tax it imposes on fuel as world oil prices surge to levels not seen in 21 years.

The Irish Road Hauliers Association (IRHA) will tell the Dail Enterprise and Small Business Committee its members are contributing large sums money to the State but receiving very little in return.

The group was invited to make a presentation after they held a protest outside Leinster House last week to highlight the effect the dramatic rise in fuel costs was having on the industry.

Mr Jimmy Quinn said the IRHA was anxious to raise the concerns of its members.

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"There seems to be an ignorance in Government of the strategic importance of the transport sector," he said.

"We intend to show examples of the current problems of the transport system.

"When energy prices go up, there doesn't seem to be any reaction, the minister sits on his hands and does nothing and we are not accepting that anymore."

Mr Quinn said some TDs had expressed their support for the body's campaign for lower fuel costs.

"We are looking for the minister to give back the money he added on to the price of fuel in the last budget," he said.

"Hauliers are putting a lot of money into the state but are getting next-to-nothing back."

AA Ireland added its voice to the call for the reversal of the five cent excise duty imposed on petrol in the last Budget.

Mr Conor Faughnan, public affairs manager for AA, said he believed the body's latest survey of petrol prices, which is being carried out this week, would show the price per litre to have risen to around one euro from 90 cent in early May.

He said reports of a 15 cent increase would be "at the high end" of AA's expectations.  However, even a rise of 10 cent per litre would result in a rise of around €5 for a fill of petrol on a typical family car.  The annual petrol bill for an ordinary family would have risen by as much as €180 in such a scenario, Mr Faughnan added.

It would be "enormously helpful" if the Minister for Finance were to reverse the five cent excise duty recently imposed.