Robert Troy (Longford-Westmeath, Fianna Fail)
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1460. To ask the Minister for Transport, Tourism and Sport the actions being considered in order to reduce greenhouse gasses; if companies will be allowed to reclaim VAT on petrol in addition to diesel in order to allow for the purchase of hybrid vehicles; if the VRT grant for full hybrid vehicles will be extended beyond 31 December 2018; and if the possibility of implementing a free toll policy and the use of certain bus lanes for hybrid and electric vehicles will be investigated in view of the fact that transport was responsible for 19.8% of greenhouse gas emissions in 2015. [1795/18]

Shane Ross (Dublin Rathdown, Independent)
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The Environmental Protection Agency estimates that transport emissions in 2016 were 20% of Ireland's total emissions, ranking third behind the Agriculture (32%) and EnergyIndustries (20.5%) sectors.  Rising transport emissions are not unexpected given increased transport demand, linked to our increasing population and welcome return to economic growth.  Although emission reduction targets are set at national - rather than sectoral - level, transport has a significant role in the mitigation effort, and the challenge is to reduce emissions without hindering economic recovery or social improvement.

We are decarbonising transport through: investing in public and sustainable transport to expand capacity and provide attractive alternatives to private car use where feasible; incentivising the transition from fossil fuels to alternative fuels and technologies; and making the conventional fuel mix more sustainable by incrementally increasing the blend ratio under the Biofuel Obligation Scheme.  The suite of transport's emission mitigation measures - both in-use and under consideration - are described in the National Mitigation Plan at.

Budget 2018 supported further progress on decarbonisation.  I secured significant funding that can actively address the climate challenge, including investment of over €400m for public transport infrastructure in 2018 alone as part of a 4-year enhanced capital envelope for this area  of some €2.7billion.  It also includes over €100m for a new multi-annual investment in cycling and walking routes in urban areas to support greater uptake of active travel.

Following recent work of the Low Emissions Vehicle (LEV) Taskforce - co-chaired by my Department and the Department of Communications, Climate Action and the Environment - Budget 2018 also had specific tax and expenditure measures showing Government’s support for a low-carbon, electric vehicle (EV) future; one notable such measure was a new, zero-rate benefit-in-kind arrangement for at least three years.  Primary responsibility for grant support measures for EVs lies with the Minister for Communications, Climate Action and the Environment, while taxation incentives (including VAT and VRT) are primarily the responsibility of the Minister of Finance.

The LEV Taskforce is now examining the potential for road charging exceptions/reduced tolls for electric and hybrid vehicles.  With funding under Budget 2018, I will be introducing some such incentives for EVs, and the design of the arrangements for this will reflect the Taskforce's recommendations when they emerge.

As regards extending bus lane access to EVs, I am informed that jurisdictions who have done this report mixed findings.  I am concerned that such a measure would conflict with our broader public transport policy aims.  Replacing private car use, where feasible, with greater bus use reduces both congestion and emissions.  Ireland's investment in bus lanes is primarily justified because it makes bus travel faster, more reliable, efficient and attractive, thereby promoting modal shift onto public transport away from lower occupancy private cars.  However, allowing additional vehicles to use bus lanes could undermine their efficiency for buses and detract from this objective, so at this stage it seems better to pursue transport emissions reduction and EV promotion through the range of other measures already indicated.