Pearse Doherty (Donegal, Sinn Fein)
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347.To ask the Minister for Finance the projected annual revenue, in first- and full-year terms, of scheduled increases in the carbon tax in each of the years 2025, 2026, 2027, 2028 and 2029, relative to the carbon tax in the previous year, for example, the projected annual revenue in 2028 from scheduled increases in the carbon tax relative to 2027. [32085/24]

Pearse Doherty (Donegal, Sinn Fein)
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404.To ask the Minister for Finance the estimated additional revenue of scheduled increases in the carbon tax in 2025, 2026, 2027, 2028, 2029 and 2030, respectively, with reference to 2024. [33235/24]

Jack Chambers (Dublin West, Fianna Fail)
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I propose to take Questions Nos. 347 and 404 together.

I am advised by Revenue that its Ready Reckoner for calculating the impact of potential changes in rates of taxation can be used to estimate the effect of changes to the carbon tax rate by extrapolating from the information on page 23. The Ready Reckoner is available on the Revenue website at: www.revenue.ie/en/corporate/information-about-revenue/statistics/ready-reckoner/index.aspx. An update of the Ready Reckoner is due to issue in the coming weeks. These estimates assume no behavioural change as a result of the additional price increases.

I am further advised that Revenue cannot provide estimates for later years due to the unknown nature of the future tax base and future economic behaviour.

With regard to multiannual projections, as the Deputy will be aware in July 2023 my Department published a paper examining the Potential Fiscal Impacts of the Transition to a Lower Carbon Economy in Ireland. The paper examined the potential fiscal impacts of current domestic climate action policies including commitments in the Climate Action Plan 2023 and the Programme for Government and is available online: www.gov.ie/en/publication/dd671-potential-fiscal-impacts-of-the-transition-to-a-lower-carbon-economy-in-ireland/

The analysis provides an overview of the potential exchequer revenue which may be impacted either negatively or positively by current domestic climate action policies. The paper builds on previous work on green budgeting published in 2022 and uses a scenario analysis of policy measures on exchequer revenues between 2023 and 2030.

As set out in previous responses to the Deputy, the Department of Finance analysis is a point in time exercise and it is anticipated that updated energy use and excise data will be available in the coming weeks which the Department will use for further updated analysis on potential fiscal impacts arising from the climate transition.