Leo Varadkar (Dublin West, Fine Gael)

The Deputy's question relates to fuel costs and their impact on the haulage industry, and measures being undertaken to assist the industry. I am aware that costs generally for haulage operators are increasing, and fuel is a major component of this. The price of fuel is driven mainly by external factors such as the cost of oil, refining costs, and exchange rates. All of these are driven by international factors and the Government has no control over them.

Taxes and fuel duties are a matter for the Minister for Finance, and are not ones in which I have any direct role. However, I should make the point that VAT is refundable to hauliers as a business expense. With regard to excise duty, I am aware the Irish Road Haulage Association, IRHA, has proposed a fuel rebate scheme to the Minister for Finance. I understand a working group between the IRHA and the Department of Finance has been established to discuss this matter and that two meetings have been held to date. However, I am not a party to these discussions, and the Deputy's questions on such would be best directed to the Minister for Finance.

I acknowledge the current economic climate creates difficulties for many sectors, including road haulage. In that regard I am seeking to work with the industry on those matters which fall under my remit and in which progress can be made. In this regard, following representations from the industry and after consultation with the relevant road safety bodies, I increased the speed limit on motorways for heavy goods vehicles to 90 km/h. Furthermore, I recently met with my UK counterpart, the Parliamentary Under-Secretary of State for Transport, Mr. Mike Penning, to discuss issues related to cabotage on foot of concerns raised by the haulage industry about enforcement by the UK authorities. I have also engaged with the industry on the issue of vehicle weights, and recently increased to 46 tonnes the maximum weight for six axle vehicles. This will come into force in July of this year.

In addition, a project is under way in the Department which will make some contribution to improving licensing arrangements and reducing operational costs when completed. The Department is working on a new computer system which will include a facility for online applications for haulage licences and amendments to licences by the end of this year. This should reduce the time, effort and costs required by operators to obtain the licensing documents and certificates they need.

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