Phil Hogan (Carlow-Kilkenny, Fine Gael)

I oppose the enactment of this Bill at this time. I regret that the amendments put down by me and Deputy Ciarán Lynch have been ruled out of order. We had a useful discussion on Committee Stage when we sought to bring to bear on the Minister the necessity to go as far as we can with the data available in the national vehicle and driver file to allow those who make good environmental decisions on motor car purchase, new or second hand, to benefit from reduced motor tax.

Through various amendments on Committee and Report Stages, Deputy Ciarán Lynch and I asked the Minister for the Environment, Heritage and Local Government to seriously examine bringing forward the necessary changes to give the best possible benefit to those who want to make good environmental decisions and to get the benefit of the tax system for their motor vehicle. The Minister has come to 1 January for all new cars. A person who buys a car between 1 January and 1 July 2008 cannot get the benefit of reduced motor tax if he or she renews motor tax between now and July for that new vehicle. A person who bought a car in January and paid three months tax must wait until after 1 July to trigger the reduction in motor tax based on the emissions system rather than the cc system.

I did not understand that view of the administration of the new system from the Minister on Committee Stage but I have been informed by a local authority that it is the case. A person who bought a car since 1 January will not get reduced motor tax until after 1 July, even though he or she made a sound environmental decision. The Minister is trying to make a virtue of the fact that he is going back to 1 January. I stand to be corrected on this, but it is the interpretation of the local authority with which I checked it.The amendments we tabled would have allowed the Minister to apply the law retrospectively from 2004, as he said he had the data available from that date to allow for the introduction of an emissions-based system for new and second-hand cars. That was an opportunity to reduce motor tax and give the benefit to the consumer for making a sound environmental decision and purchasing a car based on emissions rather than engine size. I am disappointed that the Minister did not take the opportunity to make the necessary changes on Report Stage to allow consumers that benefit. We had an opportunity to go much further than we have.

I have received an interpretation of the proposed administrative changes from a local authority. I was aghast to learn that there would not be any reduction until after 1 July, even though people would purchase a vehicle before that date. I look forward to hearing what the Minister has to say on the issue.

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