Bernard Durkan (Kildare North, Fine Gael)
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Question 33: To ask the Minister for Communications, Energy and Natural Resources the extent to which he has monitored the increases in the price of motor diesel and its expected negative impact on all sectors; further to his reply to Parliamentary Question No. 231 of 23 April 2008 wherein he made reference to euro-dollar fluctuations, the way it is possible that the increased strength of the euro against the dollar seems not to have been of benefit to consumers here; if he will carry out an investigation into what appears to be an attempt by oil companies to penalise road users for using diesel oil; and if he will make a statement on the matter. [21417/08]

Emmet Stagg (Kildare North, Labour)
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Question 49: To ask the Minister for Communications, Energy and Natural Resources his views on calls from an organisation (details supplied) for an investigation as to the unprecedented increase in the price of diesel over petrol prices; the measures he will take to address the rising cost of diesel; and if he will make a statement on the matter. [21360/08]

Jan O'Sullivan (Limerick East, Labour)
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Question 55: To ask the Minister for Communications, Energy and Natural Resources if he will bring forward measures to give the energy regulator, CER, co-competition powers with the Competition Authority over the oil and liquid fuels market; if he will direct CER to investigate and report on pricing policies in the oil and liquid fuels market; and if he will make a statement on the matter. [21364/08]

Bernard Durkan (Kildare North, Fine Gael)
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Question 199: To ask the Minister for Communications, Energy and Natural Resources the extent to which petrol and diesel prices here compare with those in other EU States, including the UK, the currency of which has faltered against the euro; and if he will make a statement on the matter. [21633/08]

Bernard Durkan (Kildare North, Fine Gael)
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Question 200: To ask the Minister for Communications, Energy and Natural Resources if he has undertaken inquiries into the reason or reasons that the price of diesel oil has increased so dramatically; the extent to which oil companies have increased the price of the fuel in order to capitalise on its eco-friendly status; and if he will make a statement on the matter. [21634/08]

Eamon Ryan (Dublin South, Green Party)
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I propose to take Questions Nos. 33, 49, 55, 199 and 200 together.

The price of oil, diesel or petrol, which is set on international markets, is outside our direct control. The Irish oil industry is fully privatised, liberalised and deregulated. There is free entry into the market. Prices at the pump reflect global market price, transportation costs, Euro/Dollar fluctuations and other operating costs.

The Competition Authority is a statutory independent body with a specific role in the enforcement of competition law. The National Consumer Agency has specific responsibilities for protecting the rights of consumers. Their function is to ensure that competition works optimally for the benefit of consumers throughout the country.

Ireland's high dependence on imported oil makes us price takers, sensitive to the volatility of the markets and reflecting a range of market factors. Traditionally, diesel has been less expensive than petrol in Ireland at the forecourts. This was due to the fact that international prices for both products were previously in the same range, and excise duty was (and still is) lower on diesel. The excise differential in favour of diesel is 7.46 cents.

Currently, there are a number of factors that account for the higher price of diesel relative to petrol. These include an increased demand for diesel in Europe as well as China and other developing economies. This has led to the European demand for diesel exceeding the supply from European refineries. Diesel is now being sourced from farther afield, particularly from Russia.

In addition, the US oil industry has made a strategic choice to produce more petrol relative to diesel, believing that there would be a high demand for petrol but in fact, consumer demand for petrol was less than anticipated this winter, which has resulted in surplus stocks of petrol in the US. High Stocks are likely to have curbed flows of exports of petrol from Europe to the US, leaving high stocks of petrol in North West Europe. A combination of these market factors has contributed to the rise in diesel prices relative to petrol.

The increase in the price of diesel is affecting all of Europe. EU price figure comparisons published on 19th May 2008, show that the average price of diesel in Ireland in April was €1.248 per litre. This price ranks as the eighth cheapest price out of the 27 EU Member States reported by the EU on 19th May. The average price of diesel in the UK in the same report was €1.561 per litre and the average EU price for diesel was €1.40 per litre. These comparisons demonstrate that Ireland is by no means the worst affected country in Europe in relation to the price of diesel.

It is also the case that the increase in the price of oil generally, for both petrol and diesel, would be even higher for the consumer if the effect had not been moderated to date by the sharp depreciation of the dollar against the Euro. This is particularly clear when recent price increases for a barrel of oil are compared with relative increases in diesel and petrol prices.

The Commission for Energy Regulation (CER) is the independent body responsible for overseeing the liberalisation of Ireland's electricity and gas sectors. The CER has no role in regard to the oil industry, which is already fully deregulated.

Government policy on prices is concentrated on the promotion of competition, consumer choice and awareness. The Deputies will be aware that petrol stations are required to display their prices in a clear manner, so that consumers can make an informed choice when purchasing fuel. Consumer protection is a matter for the Department of Enterprise, Trade and Employment, and consumers can report any infringements of the law to the National Consumer Agency.

The upward global trend in oil prices reinforces the imperative for Ireland to reduce its oil dependency and to use energy wisely and efficiently. The actions we are taking to accelerate delivery of our targets for renewable energy and energy efficiency, are essential to ensure a sustainable energy future for the economy and for consumers.