Vol. 510 No. 6
203 Mr. U. Burke asked the Minister for Finance the plans, if any, he has to continue the concession of duty free diesel for leisure boats in inland waters due to the importance of this to the tourism industry and in view of the fact that this sector is very price conscious and is in a state of stagnant growth for the past two years; and if he will make a statement on the matter. [23461/99]
It is not correct to say that the diesel used for leisure boating in inland waterways is free of excise duty. Such operators pay duty at the rate of £37.30 per 1,000 litres. In accordance with the provisions of article 8.4 of Directive 92/81/EEC, Ireland has been authorised by Council decision 97/425/EC to continue to grant a derogation from the payment of the full excise rate of duty in respect of diesel used for navigation in private pleasure craft. This derogation applies until 31 December 1999 and will continue to apply automatically for subsequent periods of two years, unless the Council decides unanimously before the end of that period on a proposal from the Commission whether the derogation should be abolished or modified.
It is understood that the Commission will present proposals on this and on other derogations later in the year. Any such proposals will have to be considered, but as previously mentioned, any decision on the derogations will require unanimous agreement in Council.
