Written answers

Tuesday, 27 November 2007

Department of Arts, Sport and Tourism

Tourism Industry

8:00 pm

Photo of Joe CareyJoe Carey (Clare, Fine Gael)
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Question 369: To ask the Minister for Arts, Sport and Tourism his views on whether the removal of the refund of excise duty on fuel used in passenger transport services will cause hardship for the tourism industry here; and if he will make a statement on the matter. [30817/07]

Photo of Séamus BrennanSéamus Brennan (Dublin South, Fianna Fail)
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Questions in relation to excise duty are matters for my colleague the Tánaiste and Minister for Finance, Mr Brian Cowen TD, in the first instance.

I understand that the Department of Finance, in conjunction with other relevant Departments including my Department, is exploring alternative non-tax support mechanisms that could be put in place, where appropriate, to maintain the assistance currently being provided, subject of course to compatibility with EU State Aid requirements.

Obviously, pressures on costs affecting tourists or tourism-related businesses, including pressures caused by the removal of reliefs, could lead to further pressure on the competitiveness of Ireland's tourism industry, which operates in a highly competitive marketplace.

I understand that the Tánaiste and Minister for Finance, has previously advised the House that, in the interim, the reduced rates applicable to fuel used will be maintained.

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