John Gormley
Question:331 Mr. Gormley asked the Minister for Finance the progress, if any, made to date in relation to green taxation; and if he will make a statement on the matter. [1789/00]
Vol. 513 No. 1
331 Mr. Gormley asked the Minister for Finance the progress, if any, made to date in relation to green taxation; and if he will make a statement on the matter. [1789/00]
333 Mr. Gormley asked the Minister for Finance his views on whether it is unlikely that Ireland will unilaterally introduce a carbon tax within the EU; and if he will make a statement on the matter. [1793/00]
334 Mr. Gormley asked the Minister for Finance his views on whether it is unlikely that a carbon tax will be introduced within the EU due to the fact that this decision requires unanimity; and if he will make a statement on the matter. [1794/00]
I propose to take Questions Nos. 331, 333 and 334 together.
As the Deputy will be aware, in my December 1998 budget, I introduced a new rate of vehicle registration tax – 30% – for larger motor vehicles. I said, at the time, that I believed that it was appropriate to seek to recoup revenue in this way from a sector that was experiencing record sales, to meet the additional road use and environmental damage arising from the unprecedented growth in private car usage. I also reduced the excise duty on automotive liquid petroleum gas.
In my most recent budget, I announced that it is proposed that the existing tax concession given to the CIE group of companies and to certain other operators in respect of the diesel used in public transport operations would, in future, be confined to the use of ultra low sulphur diesel. Provision for this will be made in the forthcoming Finance Bill and the relevant sections will be implemented by way of a ministerial order. This is being done to give operators an opportunity to set up the necessary operational arrangements and I hope that this significantly cleaner product will soon be in use by public transport operators.
I have also said that it was intended to take up the issue of green tax policy with the social partners in the context of the successor to Partnership 2000 with a view to putting in place an agreed policy in this area in view of the impact of tax increases on inflation and those on low incomes. As the Deputy is aware, discussions on a successor to Partnership 2000 are ongoing.