Dáil Éireann Debate, Tuesday - 9 November 2021
234. Deputy Brendan Smith asked the Minister for Transport if urgent consideration will be given to the issues outlined in detailed correspondence from a representative organisation (details supplied) in relation to the serious difficulties facing this sector at present; and if he will make a statement on the matter. [54760/21]
View answerThe correspondence referred to is addressed to the Minister for Finance, the Minister for Public Expenditure and the Minister for Environment, Climate and Communications. It relates in particular to measures announced in Budget 2022, which are primarily a matter for the Minister for Finance and the Minister for Public Expenditure.
Like many other sectors of the economy, road haulage is facing the challenge of rising costs. The global oil price has increased substantially in 2021. However, the Minister for Finance has retained the diesel rebate scheme for the present. The scheme, first introduced in 2013, allows haulage and bus operators licensed by the Department to apply to Revenue for a rebate on tax paid on diesel purchased in the State. The rebate rate is based on the average purchase price of diesel provided by the Central Statistics Office, CSO. The rebate amount is capped at 7.5 cent per litre. VAT-registered businesses are also eligible to claim a refund on the VAT paid for diesel used in the course of business activities.
In line with the Programme for Government, the Department of Transport is working towards developing a ten-year strategy for the road haulage sector. The aim is to develop a strategy that will focus on generating efficiencies and improving standards, and helping the sector move to a low-carbon future. A public consultation was held earlier this year and the responses to that consultation are being examined. Another round of consultation is planned. I will remain engaged with the sector and with my colleagues in Government towards the completion of that strategy.
