Micheál Martin (Cork South Central, Fianna Fail) | Oireachtas source

I thank Deputy McDonald for raising this very important issue.

I wish everybody a happy International Women's Day. We are all agreed that our thoughts are with the women of Ukraine who more than anybody have demonstrated extraordinary resilience in the face of the most enormous of challenges and the most impossible of choices as they bring their children to safety, leaving their husbands and partners apart. We salute the women of the Ukrainian Parliament for resolutely defending democracy, staying in Kyiv, defending the democracy and territorial integrity of Ukraine. If I could, I want to salute the bravery of journalism in the middle of this war, particularly women journalists. On the front page of The New York Timeswe will have seen that horrific photograph of a family murdered by Russian forces, captured by Lynsey Addario, a person who has spent her career documenting war crimes and who has documented one here.

That brings us to the fact that one of the impacts of the Ukrainian war will undoubtedly be, as Deputy McDonald said, inflation on fuel and energy prices. Prior to the war we already had significant increases in fuel prices. The Government took steps in the budget of about €1 billion and, most recently, €0.5 billion, to deal with that phase of what was then described as a pandemic-derived cycle of inflation. There is no question but that the war on Ukraine is going to increase further and has increased the escalation of fuel prices at the petrol pump, household costs and so on. The Government is acutely aware of this issue. We do not argue that the impacts on people are not sustainable at the rate these increases are occurring. Russia's systemic role in energy supply will have significant impact on prices with implications for inflation and production costs. Pass-through price effects are going to be felt in other areas. We can see it in fertilisers, fuel and transport costs and food. Food is another key issue of concern for Government given that Russia and Ukraine between them export so much grain to the West. We have to take measures to try to offset what is likely to be an interruption in terms of those exports for one reason or another as a consequence of the war in Ukraine.

The Deputy is correct. We know that the barrel of oil on international markets has soared from about $96 a barrel on 23 February to $126 or $130 today and rising. There is speculation that it could hit $150 or $200 this year. Natural gas has increased exponentially in price also. I can say to the Deputy that there is an EU Commission paper on this. A toolbox is emerging and hopefully within the next day or two it will be published and will be considered. The Government is giving this very active consideration. We do understand the scheduling in terms of the Legislature and so on. I appreciate the Deputy's offer of facilitation of whatever outcome of the Government's active consideration of this issue will mean. I do not want to get into specifics right now.

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