Vol. 525 No. 1
45 Mr. M. Higgins asked the Minister for Finance if he has had an input into the national greenhouse gas abatement strategy; his views on whether increased carbon energy taxes can have a beneficial impact on the environment; and if he will make a statement on the matter. [23466/00]
My Department was represented on an interdepartmental group consulted during the development of the greenhouse gas abatement strategy. In addition, my Department has been consulted by the Department of the Environment and Local Government during the formulation of the draft strategy. I understand the Minister for the Environment and Local Government, Deputy Dempsey, expects to publish the strategy on behalf of the Government in early November.
Obviously, taxation can play a part in attaining environmental goals. We already have high rates of excises on motor fuels and vehicles. I am concerned as Minister for Finance to ensure that tax measures take into account the effect on Ireland's international competitiveness, particularly in relation to non-EU countries which compete with us and which may have low taxes on energy. I am also concerned in framing policy, as is the Government, about the effect that the imposition of an energy tax may have on the consumer price index and how such taxes could impact on the less well off members of the community. Naturally, in all such things there is a balance to be struck in the way in which we secure our environmental goals through fiscal measures.
