Dáil Éireann Debate, Tuesday - 30 May 2017
155. Deputy Thomas P. Broughan asked the Minister for Finance the expected revenue yield that would result from an increase of 5 cent per litre in excise on diesel; and if he will make a statement on the matter. [25812/17]
View answer156. Deputy Thomas P. Broughan asked the Minister for Finance the expected cost of using the diesel rebate scheme to offset the proposed 5 cent per litre increase in excise on diesel for commercial transport; and if he will make a statement on the matter. [25813/17]
View answerI propose to take Questions Nos. 155 and 156 together.
I am informed by Revenue that the expected yield from an increase in Excise on diesel of five cents per litre is estimated at €123m, as indicated in the Ready Reckoner on the Revenue website: http://www.revenue.ie/en/about/statistics/ready-reckoner.pdf.
Section 99A of the Finance Act 1999 (inserted by Section 51 of the Finance Act 2013) provides for a repayment to qualifying road transport operators of part of the mineral oil tax paid on the auto-diesel purchased within the state for use in the course of business. The amount of the repayment varies in accordance with the average price at which auto-diesel is available for purchase during a repayment period with the repayment only kicking in when the price of a litre of diesel rises above €1.23 at the pumps.
I am advised by Revenue that it is tentatively estimated that the cost of using the diesel rebate scheme to offset a proposed five cents increase in Excise on diesel would be in the region of €20m assuming all of the five cent increase qualifies for the rebate.
