Paschal Donohoe (Dublin Central, Fine Gael) | Oireachtas source

The Government recognises the importance of the haulage sector to the Irish economy and has introduced a number of initiatives to support Irish hauliers. It has introduced legislation to clamp down on unlicensed hauliers, a new online system for haulage licensing has been introduced and the Government has cut costs for hauliers through the fuel duty rebate scheme, which is worth more than €30 million to the industry. In November, I met the Minister for Finance and representatives of the Irish hauliers to discuss options for reducing the motor tax burden on the haulage sector. At this meeting, the Minister for Finance committed to reducing road tax on HGVs of more than 12 tonnes, with a tapering of the reduction from vehicles below that rate, starting in next year's budget.

The introduction of the United Kingdom's HGV levy was an unwelcome development for Irish hauliers, particularly for those operating in areas around the Border with Northern Ireland. Although my Department lobbied extensively against the application of the United Kingdom's HGV road user levy in Northern Ireland, the Minister for Transport in the United Kingdom refused to grant any significant concession beyond the small sections of Northern Ireland's roads that criss-cross the Border.

As for the introduction of pay-as-you-go road user charging in Ireland, this is being examined by my Department through the cross-departmental group on HGV road charging. The group issued a consultation paper on potential reform of the commercial vehicle motor tax system to stakeholders on 27 November. On completion of the consultation process, the group will submit a report with recommendations to me and to the Ministers for the Environment, Community and Local Government and Finance for consideration.

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