Dáil debates

Tuesday, 7 April 2009

Financial Resolution No. 4: Mineral Oil Tax

 

8:00 pm

Photo of Liz McManusLiz McManus (Wicklow, Labour)

I do not want to oppose the proposed excise increase on cigarettes because price can have an influence on young people and ensure they do not take up smoking. It will not make a difference as a preventative measure for older people. However, money collected in this way should be used to help people to give up smoking since that does not happen currently. I strongly recommend such provision be made, as we will not see a reduction in numbers smoking otherwise. The smoking ban initially led to a reduction in the numbers smoking but then numbers began to increase.

It is extraordinary that an increase in the price of diesel has been proposed in this supplementary budget. What has happened to the Green Party Ministers? They do not attend the House for the Order of Business anymore and they do not appear to have had an influence on the preparation of the budget. I do not know whether they are even interested in what is going on. Fianna Fáil has taken over 100% but anybody with an interest in reducing carbon emissions and being more environmentally friendly would not target diesel for an excise duty increase. Until recently, diesel was more expensive than petrol, which was unprecedented, and we had difficulties in ensuring we could sell the message that we wanted to reduce carbon emissions and people could make a choice to their benefit.

I refer to the reality in my constituency of Wicklow. A public transport service is not available in large tracts of the county. It is not as if people can make a choice to use public transport. That is not an option for thousands of people living in County Wicklow but many commute to Dublin or travel long distances to work elsewhere. These hard working people have been hammered in this budget through increased income and health levies, cutbacks in child care provision and a range of other blows. It will take people a day or two to come to terms with what has been taken from them in this budget. This increase is yet another blow. The Minister can say it amounts to only 5 cent on every litre but that will ensure €100 million is collected in a full year. The ordinary commuter will pay that amount. As it is, the Government takes a sizeable chunk of the cost of petrol, gas and other fuels. It is not as if the State is not taking a good percentage out of every litre bought but, in this instance, in addition to the taxes the Government is imposing on the average working family, it is imposing a tax on them every time they use a diesel engine car, which is unacceptable.

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