Vol. 515 No. 1
45 Caoimhghín Ó Caoláin asked the Minister for Finance the further action, if any, he will take with regard to the difficulties caused to the private transport industry due to the non-availability of low sulphur diesel to which the fuel excise rebate applies. [5278/00]
As I said in my Budget Statement, I propose to modify the existing duty rebate on diesel fuel, which is available to CIE and certain other bus operators, by stipulating that this concession will only be available where low sulphur diesel is used. The motivation for this change is the Government's commitment to produce cleaner air. The relevant sections in this year's Finance Bill will be implemented by way of ministerial order later this year, allowing time for the interested parties to make the switch to the cleaner and more enviromentally sound low sulphur fuel.
My officials have been informed by the Department of the Environment and Local Government that low sulphur diesel will be available in this country later this year. It is my experience that where tax incentives are provided, market forces will respond. Therefore, all transport operators currently enjoying very generous tax reliefs under the passenger road service fuel relief scheme should be able to find suppliers of low sulphur diesel in order to continue benefiting under the scheme.
