Dáil debates

Tuesday, 24 April 2012

Private Members' Business. Motorist Emergency Relief Bill 2012: Second Stage

 

9:00 pm

Photo of Peadar TóibínPeadar Tóibín (Meath West, Sinn Fein)

When Fianna Fáil was introducing austerity budgets in 2009 and 2010, Sinn Féin opposed them because of the damage they would do to the economy. When Fine Gael and the Labour Party followed in Fianna Fáil's footsteps in December, we opposed that too. On every occasion we provided detailed costings of alternatives to promote growth, jobs and equality. I listened to Fianna Fáil's Deputy Dooley on "Morning Ireland" last week outlining his party's commitment to what he called constructive opposition. He told listeners that Fianna Fáil was not interested in populist opposition, or opposition for its own sake, and that it had tabled 20 Bills since the last general election. Many Members would be rightly sceptical, like me, and wonder why Fianna Fáil did not introduce these Bills when it was in government.

The Bill we are discussing tonight is a case in point. Sinn Féin strongly supports any measure that will reduce pressure on struggling families and businesses. The proposal to reduce the cost of petrol and diesel by four cent per litre, if passed, would significantly ease the burden on tens of thousands of people. Sinn Féin would support such a Bill. However, it is important to remind ourselves who is responsible for creating this taxation burden in the first place. In last December's budget, the Labour Party and Fine Gael introduced an increase of 1 cent per litre of fuel, but over the three years before that, Fianna Fáil had introduced a massive increase of 14 cent per litre of petrol or diesel. Nobody should be under any illusion that if Fianna Fáil had been in government last December, it would have increased the fuel excise once again, and Deputy Dooley would have voted for it, just as he did from 2009 to 2011. This Bill, rather than being an exercise in constructive opposition, is a return to classic Fianna Fáil.

Let us not forget the reason people are so heavily dependent on their cars, particularly in rural Ireland. It is because of the lack of investment in the transportation system by Fianna Fáil between 1997 and 2011. In addition, Fianna Fáil has not clarified where it will source the replacement revenue. A sum of €140 million is not insignificant, especially in the current financial climate. Those who propose tax reductions should have the responsibility of explaining where the replacement revenue will come from. This is what Sinn Féin has done in its pre-budget submission. Claims that a reduction in petrol and diesel tax would be revenue-neutral are hocus pocus. Fianna Fáil needs to tell us where is going to collect these taxes and, in particular, how is going to replace the €140 million.

It is important that the Government take a strategic view on the pricing of fuel, which is a pivotal issue across the State. This includes the issues of a VAT rebate, the identification of correct prices for fuel and the use of the taxation system to ensure there is no radical change in price. It can be done. It is also important to build into this thought process consideration of our environmental obligations and our obligations with regard to the 2020 targets set by Europe.

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