Pat Casey (Fianna Fail)
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On Second Stage the debate will follow the normal pattern. The Minister of State has eight minutes, group spokespersons have eight minutes and I will call the Minister of State no later than 4.10 p.m. for his reply.

Alan Dillon (Mayo, Fine Gael)
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I thank the Acting Chair. I welcome all the Seanadóirí. I am pleased to introduce the National Oil Reserves Agency (Amendment) Bill 2026 to the Seanad. The Bill gives the necessary legal basis for a reduction in the National Oil Reserves Agency, NORA, levy from 2 cent per litre to a nominal amount for a two-month period. The reduction will come into effect from 1 April 2026, until 1 June 2026. The Bill also provides scope for the Minister for Climate, Energy and the Environment to amend this time period at a later date, if required. The NORA levy is a charge of 2 cent per litre applied to most petroleum products sold in the market for the purpose of funding the operations of the National Oil Reserves Agency and the Climate Action Fund. The reduction in the NORA levy for a two-month period is estimated to result in a reduction of levy income accruing to NORA of approximately €20 million. There is no Exchequer cost from the proposal. NORA has substantial financial reserves and as such the proposed reduction of the NORA levy will have no material impact on NORA’s ability to fund its activities in this time of global uncertainty.

NORA has operational responsibility for the day-to-day management of Ireland’s strategic oil reserve. NORA currently holds 90 days of oil stocks. Stock may be released from Ireland’s stockholding in the event of a shortage of refined product on the domestic market or, as recently happened, to participate in an International Energy Agency collective action to alleviate a global oil shortage.

Ireland faces particular challenges in relation to energy costs as a result of long-standing factors, including our isolated island location, low levels of interconnection, a widely dispersed population and an historical reliance on fossil fuels. The NORA levy reduction is one of a suite of temporary and targeted measures to reduce fuel prices for households and businesses, while additional supports for key sectors of the Irish economy are being introduced and may be adjusted as the situation evolves. The Government has reduced the rate of mineral oil tax for petrol, diesel and marked gas oil by 15 cent, 20 cent and 3 cent, respectively. Supports for haulage and bus passenger operators have also been introduced and the fuel allowance has been extended by four weeks, protecting the most vulnerable in society. This extension of the fuel allowance season means that eligible households will receive additional financial support to the tune of €152.

The Government has established the national energy affordability task force to identify, assess and implement measures that will enhance energy affordability for households and businesses while delivering key renewable commitments and protecting security of supply and economic stability. This is a critical element of the Government’s work to improve competitiveness, complementing the Action Plan on Competitiveness and Productivity. The work of the task force will include a full review of cost drivers within the energy sector, and consideration of how the EU action plan for affordable energy and associated guidance can be implemented in an Irish context. The interim report of the national energy affordability task force, published last November, set out measures for consideration in the budget 2026 process. The task force has now turned to the preparation of an energy affordability action plan to be completed in quarter 3 of this year. This will include examining how targeted schemes can best assist households in energy poverty and consider supports for households struggling to meet their energy costs. The Minister, Deputy O’Brien, chaired a meeting of the task force on 19 March, with a focus on the Middle East and impact to energy markets. A subsequent meeting is scheduled for this afternoon.

Government is making crucial investments in renewable energy, in our electricity grid and, importantly, in energy efficiency. The ongoing conflict in the Middle East underlines once again why we must accelerate the deployment of renewables across all sectors, continue to invest in our grid, and continue to invest in retrofitting of homes and businesses across the country. The Minister for Climate, Energy and the Environment secured a record allocation for fully funded and granted-assisted retrofits of €640 million in budget 2026, allowing us to target 73,000 home energy upgrades this year. Energy affordability is a priority for the Government and the reduction in the NORA levy will assist consumers in this regard. I commend the Bill to the House.

Lorraine Clifford-Lee (Fianna Fail)
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I thank the Minister of State for outlining the importance of this Bill. We are all very much aware of what is happening to energy prices currently. It is very difficult for individuals and businesses. I commend him and his colleagues in government on taking the action they have taken this week. We are very concerned about the humanitarian impact of war in the Middle East, but the blocking of the Strait of Hormuz unprecedented. There is a very real risk of major economic global shock and we are starting to see the ripple effects of it. It is appropriate that the Government is taking steps to alleviate the impact on households and businesses.

However, we do not know what the duration of the shock will be and we do not know what the impact will be. It is very important to take measures that are applicable for the moment and which give families and businesses breathing space. I know the Government is taking it day by day and watching it closely. It is important that we do not use everything that is in the tank, pardon the pun, in the first go because we do not know how long this will go on for. We need to make sure that and the best interests of the Irish public are served by the reserves, the finances and the funding that we have. We are lucky that the economy is in such a strong position that we are able to take these measures. We can look across the water at the difficulties that the British Government is facing. Its economy is not in as robust health as our economy and it will be very difficult for it.

I commend the Minister of State on bringing this Bill before us and he has our full support in that. I look forward to its quick passage because the sooner we get this passed, the sooner it can be implemented by the deadline outlined in his speech. I look forward to the cost of energy reducing for people even further.

Joe Conway (Independent)
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Go ginearálta, cuirim fáilte roimh an mBille seo. Tá sé tráthúil agus riachtanach i ndáiríre. None of us will be unaware of conflict that has begun in the Middle East which has created huge supply disruption, probably the biggest in the history of the oil market internationally, mainly due to the halting of the shipping traffic through the Strait of Hormuz, as Senator Clifford-Lee mentioned. Some 15 million barrels of crude oil and 5 million barrels of oil products traverse that strait each day, equivalent to about 20% of the global oil consumption. These flows have now slowed to a trickle. The loss of supply is having significant impacts on global markets, as well as ours, pushing up the price of crude oil to above $100 a barrel, leading to much higher prices for some refined products, notably diesel, jet fuel and liquified petroleum gas, LPG. Concerns are naturally growing about the impacts of higher prices on households, businesses and the broader economy. I welcome what the Minister of State said about the NORA levy, which will give some respite to our hard-pressed consumers, those involved in transport, SMEs and businesses of all types in the country.

However, there is an urgent need for Government to launch an information and education package for the population in general. There are a number of things that we can very quickly do on the demand side. I am sure the Minister of State is familiar with this document that came out a few days ago from the International Energy Agency, Sheltering From Oil Shocks, which lists ten devices that can be used by governments and the open economy in all countries.I will instance some of those: working from home where possible; reducing speeds on national highways by at least 10 km/h; a broad campaign to encourage the use of public transport; perhaps the consideration of private car assets to be used on alternate days in big cities to promote the increase of car sharing and the adoption of efficient driving practices; road commercial vehicles and delivery of goods to foster within what is called the logistics industry driving practices that may involve more regular checking of the efficiency of trucks and lorries to reduce idling, breaking and accelerating - all those things that are good driving practice; and, for the small percentage, admittedly, in this country who use LPG for fuel for road transport, to consider the diversion of that when the conversion operator is in use in cars. On the luxury side and the industries outside of that, we could encourage, coming up to the tourist season, a downplaying of air travel where other types of travel are possible. We could also consider what might be even more patriotic, namely the staycation.

Then we have concerns about petrochemicals. This is a very big worry for us because it is not just oil deliveries being stopped at the Strait of Hormuz; there is also a huge backlog of fertiliser and fertiliser products, which will cause great difficulties for farmers coming into the serious growing season. There must be some targeted response to that as well, which I am sure the Government is considering.

I saw in the Irish Daily Mailtoday an article which mentioned the levy or the release of relief for private jet transport. I am sure very few people in our State would agree with the use of extending the relief to people flying executive jets, but I know it is a drop in the ocean as to what we are considering.

Mainly, I want to say two things. Obviously, the Seanad Independent Group, SIG, would be delighted to see some respite and relief given to the consumers and SMEs in particular, but to dampen down the demand side, the Minister of State might consider, in conjunction with his colleagues, the idea of a very robust education and promotion campaign. Those of us who have occasionally watched boxing matches will say that probably the deadliest thing a boxing opponent has to stand up against is a series of combination punches. In recent years, we have had combination punches from Covid, the Ukraine crisis and now this one, which is probably the worst of all. The problem with combination punches is that they often put the opponent down. We have had a succession of these impacts now. It is very important we make the right response in order that our economy can remain buoyant and robust through it all.

With that, I thank the Minister of State for bringing forward the Bill. I hope we can, on the day that is in it, get through it fairly fast.

Pat Casey (Fianna Fail)
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I welcome Deputy Timmins and his guests to the Public Gallery. I hope he is looking after you and feeding you well today. Enjoy your trip to the Dáil. I call Senator Eileen Lynch.

Eileen Lynch (Fine Gael)
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I thank the Minister of State for being with us. I welcome this legislation. It is timely and necessary amid a backdrop of increasing global uncertainty.

As the Minister of State outlined, the Bill seeks to remove the NORA levy, which is charged at a rate of 2 cent per litre applied to petroleum products sold across the country, on a temporary basis for two months. I acknowledge that the Bill also gives the Minister the power to extend the measure, if necessary, by ministerial order.

As we are all aware, we are living in incredibly fraught times, between war in Ukraine and the recent conflict in the Middle East and the Gulf. They are threatening the world in which we live and we really do not know when, or indeed if, a resolution will be reached. Irish citizens across the country are feeling the effects of this war in the sharp increase in the cost of fuel at the pumps, which is putting an extra pressure on everyday lives. In particular, it is having a damaging effect on our hauliers and farmers.

This Bill is part of a suite of measures introduced by the Government this week to ease the costs people are facing in relation to fuel and heat, and I strongly welcome these measures. They will make a real difference to people in addressing the extra costs they are facing. The reduction in the NORA levy in the next two months will work alongside the reduction in excise duty, the expansion of diesel rebates and the extension of the fuel allowance.

I will, however, call out the price gouging being engaged in by fuel suppliers. Across the country, we saw a massive rise in the prices at the pumps before suppliers would ever have felt the extra cost. As consumers, we felt it. There were disproportionate increases. We need to address that, and I welcome the review which has been carried out in this regard by the Competition and Consumer Protection Commission. We have to ensure that any upward pressure does not lead to price increases for the consumer which are not proportionate.

On a broader note, Ireland's energy security can no longer be taken for granted. We are, unfortunately, seeing the real consequences of over-reliance on imported fossil fuels. As an island on the periphery of Europe, we are particularly exposed. We import the vast majority of our oil, and that leaves us incredibly vulnerable to external shocks.

It is very important that we also recognise the changing nature of energy itself. While oil remains critical to our economy today, particularly in transport and agriculture, we are in the midst of a transition to cleaner energy sources. Energy security and climate action are not opposing goals; they have to go hand in hand. Ensuring that we have adequate oil reserves today does not diminish our responsibility to reduce our dependence on fossil fuels tomorrow. We need to take a pragmatic approach that protects households and businesses while also steadily advancing our climate ambitions. It is incumbent on all of us as legislators to ensure that Ireland is better prepared for future shocks. This means investing in resilience, diversifying our energy sources and supporting innovation in renewable technologies. Ireland has made significant progress in recent years, particularly in wind energy. I urge that our wind energy guidelines be published as soon as possible; they have been delayed for far too long.

Solar energy is also an area where we have seen expansion, and it can be further expanded, but it is important that it is expanded in the right places. We cannot continue to see valuable agricultural land taken up by solar farms when poorer land is unsuitable for development because it is not connected to the grid. In Spain, the Madrid region has banned solar farm development on agricultural land in order to protect olive and vine cultivation. These are the kinds of measures we will have to give due consideration to.

The Government has invested €1.1 billion in budget 2026 in the area of energy and that billions of euro have been committed to the grid, but we still need to go further, investing in storage, grid infrastructure and expansion, as I have already mentioned, and emerging technologies such as green hydrogen. We have to do all we can right now to guarantee Irish energy security.

I support this Bill. It is sensible, it is forward-looking and it is what is needed at this point. It will enhance our resilience and help us to navigate an increasingly complex global situation. Right now we really have no certainty as to what will occur. For that reason, I really welcome this legislation.

Pat Casey (Fianna Fail)
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Before we move to the next speaker, I welcome a guest of Senator Joe Flaherty, Aoife Masters, a political student all the way from Longford. I hope the Senator is looking after you well today. Senator Conor Murphy has eight minutes.

Conor Murphy (Sinn Fein)
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Cuirim fáilte roimh an Aire Stáit. I speak on this with a profound sense of disappointment about what is proposed, which I do not think will amount to very much in terms of giving people the support that is needed. The Government had an opportunity in the budget to tackle issues in relation to the cost of living. It declined that opportunity, and that now has heaped pressure on households. The issue of the provision of oil and fuel as a consequence of America and Israel's attack on Iran has added more pressure in that regard. There was an opportunity for the Government to remove entirely the excise duty on home heating oil. That is what we had proposed but the Government voted against it. Incredibly, the Government also still plans to proceed with a hike on carbon tax on home heating oil in May. For the 750,000 households across this State reliant on heating oil, this measure amounts to roughly €20 off a full tank. That is not meaningful relief when people are facing bills of €800 or €900 just to heat their homes.

There is also an imbalance at the heart of this whole approach. The Government's focus is overwhelmingly on petrol and diesel, on the forecourt, but the households trying to decide whether to fill a tank or cut back elsewhere, those relying on home heating oil, are once again an afterthought.This proposal is a short-term time-limited tweak to the levy. It does not reflect the scale of the crisis people are facing. It does not match the sustained increases in energy costs and it does not provide the certainty families need as they head into another period of volatility in energy prices. Let us be clear. That is a policy choice of the Government, that is, a minimal intervention when a more ambitious, targeted approach was needed. There was an opportunity here to properly support households depending on heating oil, particularly in rural Ireland, and that opportunity has been missed. People are not looking for gestures. They are looking for measures that actually make a difference in their daily lives and the Bill unfortunately falls far short of that. We do need to go further. We need to be fair and to recognise that for many households, heating their home is not optional; it is essential. The Government's measures will not reduce the bills for ordinary people in any realistic way. Reluctantly, we are left in a position where we have no choice but to support this because some relief, albeit limited, has to get out to people. There is a profound sense of disappointment that much more could be done in this space and that choice has been ignored by the Government.

Joe Flaherty (Fianna Fail)
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At the outset, I want to call out many in the general public who continue to propagate this myth that there is price-gouging among filling stations across the country. These filling stations are in many instances the last bastion, the last retail outlet in many of our small towns and villages. Typically, a good filling station will get 6% margin on its fuel and typically will pay €40,000 to €70,000 prepaid before they get their delivery of fuel. These people are price-takers. They are given the price from their wholesaler and that is the price they have to run with. I saw one of these fuel watch group pages this morning with three different pictures of the same filling station in Longford. Each of them had three different prices for that filling station, whether they were modified or whatever I do not know. I bought fuel from that station this morning and it was not the price that they had. People have a responsibility. These businesses are employing our children and neighbours. They are providing a very good service to our local community and people need to be more sensible, especially those politicians who are making these scandalous remarks.

The Government is under no illusion as to the challenges facing our people and country at this time. The Government has made a measured and calculated intervention to help some of our most challenged citizens and sectors. Is this the full and complete package of supports? No, but it is certainly an initial strike in the context of wider national and global financial challenges. We do not know how long this war will last but we do know that Iran has weaponised the issue of fuel. They see global strife and pain as their greatest weapon and they are going to weaponise it ruthlessly. This Government stood full-square behind the people of Ireland during Covid, again during the Ukrainian crisis and again during the cost-of-living crisis. Government is not about soundbites. It is not about popularity. That is probably why it will never suit Sinn Féin. Government is all about taking decisions that protect and support our citizens. Regularly, these decisions are unpopular but invariably, true nationalists and true republicans rally to the national cause and do what has to be done for this country. It was no surprise to us or the wider population that Sinn Féin was the only party to vote against this suite of supports in the Dáil last night. There was certainly no question of any of their TDs breaking ranks for fear of irking the higher command. Government is not for the faint-hearted. It is not for Sinn Féin. It is about the decisions that have to be taken in the context of the long-term outlook and the threat of inflation and so on.

The measures taken to date will be kept under constant review. I am certain that there will be further interventions if and when they are deemed appropriate. A case in point is green diesel, which is used widely in agriculture. Many of the Sinn Féin supporters north of the Border have degrees in washing the green dye out of the diesel and illegally selling it as road diesel. It was certainly a lucrative sideline for them. Many in this House will remember poor Paul Quinn from Cullyhanna, who was ruthlessly beaten to death by one of these gangs. Every bone in his body was broken, so much so that his poor mother was unable to wrap his fingers around her rosary beads. I am very conscious that three weeks ago, green diesel cost 96 cent per litre and now it is trading at €1.63. In a few weeks, our farmers and contractors will commence the busy silage season. The agri-sector will surely need further significant support before then, if this war is to continue.

Fianna Fáil Governments have faced similar crises and brought this country through them. Some 85 years ago we were severely impacted by the Second World War and indeed many of our sons lost their lives fighting the evils of fascism in what at that point was regarded as the most savage and destructive war of all. That war now pales in comparison to the current actions unfolding in Iran. During the Second World War, I remind the House that farmers were legally obliged to produce compulsory tillage. Householders were expected to come out and support the harvest. Every household had to manage through the week with a ration book. Every household was expected to till its garden or allotments and produce turf. Incidentally this week back then, a series of new orders and restrictions was announced that included restricting the availability of bread to just one meal in a restaurant. It also suggested that potatoes should be served three times a day in homes. The export of sausages was banned, with a crucial knock-on effect for the price of our pigs. They were also looking at the possible prohibition of private car use. Yet as a country and as a society, we got on with it. Probably in the most dastardly move of that time, they also announced that the strength of stout and beer was to be reduced by three degrees to save on wheat and barley. At the same time, the farming community, back in the teeth of the Second World War, had to deal with a foot and mouth outbreak. We did not panic then in the face of the challenge, the Fianna Fáil Government, and we certainly will not panic now. We worked with the people and we helped them through those challenges and this time will be no different. Fianna Fáil always delivers for its own people, not for benefit or reward but for the people of Ireland. We did it during the Second World War and we will certainly do it again.

Alan Dillon (Mayo, Fine Gael)
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I acknowledge and thank all the Senators for their contributions. These are not normal times and this is not normal price fluctuation. This is a severe geopolitical shock that has immediate consequences, not just in Europe but globally. Certainly it is a lot more volatile and severe than what we envisaged following the invasion of Ukraine. We have seen significant damage to key infrastructure in the Gulf and the Middle East. We see huge disruption and direct threats to global oil supply. The International Energy Agency has attuned that to over 20 million barrels of oil a day that have been impacted and with limited access to the Strait of Hormuz, we do not know how long this is going to last. We are seeing exponential spikes in the prices of energy right across the board. For that reason, we need to be honest with people. We will not be able to eliminate or shield everyone or every sector from this impact or from this global shock. That is important to recognise but we can cushion it and we are reducing it. That was seen on Wednesday night during votes where we cut the excise duty on petrol, diesel and marked oil.

What was stark in that vote and in that debate, astonishingly, was that Sinn Féin voted against a reduction in the cost of diesel and petrol at the pumps. To hear today that they are disappointed, when in one sense they are in power up the North, where they have a Minister for the Economy and indeed they continue to blame the British when they do have Executive functions, that they are not introducing any supports until 1 July, namely, a measly €30 on electricity bills. Sinn Féin calls hypocrisy on this side and on the other they do absolutely nothing. Indeed, I hear Senator Conor Murphy talking about excise on home heating oil. Just to correct the record, there is no excise on home heating oil. The carbon tax is excise. We are not returning on the carbon tax. It is modest, predictable and legislated for. It supports the important welfare supports and climate transition programmes, as well as supporting rural communities. It has been instrumental in targeting those in the lower deciles who are at risk of fuel poverty, low-income families and those in most need. Certainly these measures are very welcome.

On Ireland's dependency on fossil fuels, we do need an accelerated transition to renewable energy. That was very apparent here in many of the contributions. We have an accelerating renewable energy task force, and a clearing house now within the Taoiseach's office to bring more renewables on stream, both onshore and offshore.We have quicker decision-making through the new Planning and Development Act. We have also seen significant funding to the national development plan with regard to grid distribution and transmission. Over €18 billion has now been allocated over the next five years out to 2030. We have directly introduced equity within EirGrid and ESB Networks to the tune of €3.5 billion.

I welcome all the contributions and support for this Bill to move from Second Stage. I look forward to further consideration.

Pat Casey (Fianna Fail)
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When is it proposed to take Committee Stage?

Lorraine Clifford-Lee (Fianna Fail)
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Now.

Pat Casey (Fianna Fail)
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Is that agreed? Agreed.