Robert Dowds (Dublin Mid West, Labour)
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Question 10: To ask the Minister for Finance if he has given consideration to giving road hauliers a rebate on their fuel costs as is practised in other European countries; if his attention has been drawn to the fact that many hauliers purchase their fuel in other European countries in which it is more cost effective to do so leading to a loss of tax revenue to the Exchequer; and if he has prepared any estimates for the potential increased revenue to the State in the case of a 20c per litre rebate on fuel for road hauliers. [25414/12]

Michael Noonan (Limerick City, Fine Gael)
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The Deputy may be aware that a working group was set up between officials of my Department, the IRHA and members of the Oireachtas. This working group is discussing a number of issues of concern to the haulage industry.

Among the issues examined by the group is an essential user's rebate system. I should point out that a fuel rebate system, as sought by the IRHA, could not under EU law be restricted to Irish licensed hauliers but would have to be extended to all vehicles intended exclusively for the carriage of goods by road with a maximum permissible gross laden weight of not less than 7.5 tonnes. In addition, the rebate would have to include the carriage of passengers by a motor vehicle of category M2 or category M3 as defined in Council Directive 70/156/EEC. It should also be noted that under Directive 2003/96/EC the maximum permissible relief at current Mineral Oil Tax rates is actually 14.902 cent per litre.

While the haulage industry contend that there could be a potential benefit to the Exchequer due to hauliers changing their purchasing behaviour there is also a potential cost to the Exchequer given the scope and the amount of the relief permissible under the Directive.