Róisín Shortall (Dublin North West, Social Democrats) | Oireachtas source

I thank Sinn Féin for tabling this motion and providing us an opportunity to debate the cost of fuel. There is no doubt but the high price of petrol and diesel has had a huge impact on workers and families across the country, in particular in rural Ireland. That is why interventions like excise duty cuts have been required. After two years it is surely time for the Government to outline its plan for the future because market volatility and price uncertainty look like they are here to stay. However, it seems that short-term measures are all that we can expect between now and election time. I see little vision for the future in the Government's energy policy or for that matter from anywhere else. Where are the solutions to what looks like at least a medium if not a long-term problem? This motion unfortunately contains no measures to reduce our reliance on oil or the number of cars on our roads. It certainly does nothing to address our exposure to the geopolitical events which fuel these price hikes. Of course, not only should the Opposition be doing that but the Government should principally be setting out such a plan. If this motion is passed, Ireland will still be at the mercy of international oil markets and events outside of our control. Why is that? It is because Ireland imports 100% of its oil and more than 50 million barrels of that oil is used each year to fuel our cars, trucks and buses. Excise duty cuts may provide a temporary cushion but more ambitious policy proposals are undoubtedly required. We should be treating the causes and not just the symptoms of this problem.

Radically reducing this country's reliance on oil should be a top priority, especially in an era of increasing global conflict and violence. This grim reality must be part of the debate because geopolitics plays a major role in price movements as we know. In December 2023, the International Institute for Strategic Studies published its annual armed conflict report. It documented 183 active conflicts across the globe, the highest number in three decades. We increasingly find ourselves living in a world of bitter divisions and warring parties in which the human and economic costs of war are growing. If we are to begin addressing the human costs, the international community needs to step up its efforts to forge peace and save innocent lives. In particular, the response of the EU to Israel's actions in Gaza has exposed a huge breakdown in political and moral leadership that cannot be excused under any circumstances. While in respect of the economics of all of this, the costs of conflict clearly are felt most severely and devastatingly by the regions under attack they are also, to a lesser degree, rippling around the world. This was brought into sharp focus after Russia's invasion of Ukraine, which led to war profiteering and record oil prices. The events unfolding in the Middle East are also a major factor in the prices we pay at the pumps.

Dr. Paul Deane, senior lecturer in UCC's environmental research institute, has written extensively about Ireland's exposure to the complexities of international oil markets and the important role of geopolitics in domestic prices. His message is simple. We must reduce our reliance on oil and other fossil fuels as otherwise, we will continue to find ourselves reacting to international events instead of responding in a thought-through manner. A strategy whereby we just wait for the next crisis to occur is not strategy at all. We need a paradigm shift in energy policy. There needs to be an acceptance that we all need to move to much more frequent use of public transport and, where appropriate, we need to see much higher levels of cycling and walking. This is necessary if we are to reduce our reliance on oil and meet our climate targets. This kind of behavioural change needs to be facilitated and supported by the Government because we should not be fooling ourselves. It is a tough ask to achieve the kind of modal shift that is so important. Irish people are heavily reliant on their cars. In 2022, the SEAI found that private cars in Ireland travelled more than 35 billion km. By any measure that is an eye-watering figure. Research by UCC has also shown that twice as many children are now dropped to their primary school gates by car than are walking or cycling when compared with 30 years ago. This is a deeply regrettable change in behaviour but it is not surprising given the poor provision of walking and cycling infrastructure in our cities, towns and villages.

Walking or cycling to school are simply not safe options for many children. However, if we are to reduce our transport emissions by 50% by the end of the decade, which we are required to do and as is set out in the climate action plan, the necessary infrastructure must be urgently provided. Unfortunately, we know that transport emissions are going in the wrong direction with a 6% rise in 2022. In rural Ireland, the situation is particularly difficult. For many people in rural areas, a private car is their only option, making them especially vulnerable to price hikes. My party colleague, Deputy Whitmore, has long called for a special EV grant scheme for rural Ireland alongside enhanced public transport. This type of targeted support would make EVs a more viable and attractive option for many people in rural Ireland, especially those on low incomes. For too long the State has been subsidising wealthy motorists, mostly in urban areas, to buy luxury EVs. Instead of facilitating this huge transfer of wealth from taxpayers to high-income earners, the State should be targeting supports at rural motorists who do not have the means necessary to buy an EV. I acknowledge the Government has committed to reviewing its EV schemes but the deadline for that is, incredibly, 2026. That is just not good enough. The climate crisis is here, as we all know and should all recognise, and we are reaching a tipping point. Climate action cannot be put on the long finger. Were the Government committed to reducing the number of petrol and diesel cars on our roads, it would implement a targeted scheme now and not in two years' time. These are the types of measures within the gift of the Government to do now.

While I appreciate there are drivers of inflation that are beyond the Minister's control, he could reduce the cost of living by introducing more targeted schemes and, crucially, investing in our public services.

Even before the cost-of-living crisis, the costs of basic services were swallowing up people's incomes. In other comparable countries, basic services such as healthcare, transport, education and childcare are free or heavily subsidised. In Ireland, these costs are still far too high. This makes us one of the most expensive places in the world in which to live. That is why the Social Democrats believe that the budgetary focus should be on reducing the cost of important public services so that no one is driven into debt or poverty just to pay for the necessities. To do that and provide for sustainable investment in public services, the tax base, as the Minister has been advised on numerous occasions, must be broadened, not eroded.

See this speech in context