Dáil Éireann Debate, Thursday - 18 June 2015
80. Deputy Michael McGrath asked the Minister for Finance if he will provide, in tabular form, the total yield from each category to which the carbon tax is applied, in each year from 2011 to 2014; the projected yield in 2015; and if he will make a statement on the matter. [24371/15]
Amharc ar fhreagra81. Deputy Michael McGrath asked the Minister for Finance if his Department has carried out a review of the implementation and impact of the carbon tax since its introduction; and if he will make a statement on the matter. [24372/15]
Amharc ar fhreagraI propose to take Questions Nos. 80 and 81 together.
All taxes and reliefs are reviewed on an annual basis as part of the Budget and Finance Bill process. As part of the process the Tax Strategy Group, an inter-departmental committee which examines options in the area of taxation for the Budget and the medium and longer term, considers a specific energy and environmental taxation paper. Since the introduction of carbon tax this paper has included a review of carbon tax, including the impact it has had on fuel poverty. These papers are published and are available on the Department of Finance website.
The Sustainable Energy Authority of Ireland (SEAI) has also published a number of reports evaluating the impact of the carbon tax, notably the Energy in the Residential Sector Report 2013. This report showed that average energy-related CO2 emissions per dwelling fell by 24% since 2006. During the same period the average spend per household fell by 2.3%, even though the weighted average fuel price increase in that period was 37%. This reduction has been due in part to the Energy Affordability Strategy which tackles energy affordability in Ireland through a combination of institutional supports, investments in improving the energy efficiency of housing stock and wide availability of advice on energy efficiency. This Government has also provided, through the SEAI, generous grants via Better Energy Homes and also provides home energy upgrades free of charge to vulnerable households via Better Energy Warmer Homes to reduce dependence on combustion of fossil fuels for home heating. In 2014 the Better Energy programme provided €53m grant support towards €118m energy upgrade works.
The carbon tax, as part of the overarching energy strategy, is a key tool to reduce emissions towards meeting our climate change commitments. It is well established that, in the long term, environmental damage caused by emissions of greenhouse gases will have a negative economic impact. The cost of this damage is substantial for society. The introduction of the carbon tax is aimed at internalising these externalities and the report of the SEAI shows, is having the desired impact.
Further to positively influencing behaviour, the carbon tax has generated much needed revenue for the Exchequer.
I am informed by the Revenue Commissioners that the yield from the Carbon Tax levy in each year 2011 to 2014 is as shown in the table following.
|
Carbon Tax |
2011 |
2012 |
2013 |
2014 |
|
|
€m |
€m |
€m |
€m |
|
Auto Diesel |
97.53 |
130.78 |
137.23 |
144.86 |
|
Petrol |
60.11 |
74.62 |
69.59 |
65.69 |
|
Aviation Gasoline |
0.04 |
0.05 |
0.03 |
0.02 |
|
Kerosene |
40.52 |
40.41 |
47.32 |
42.28 |
|
Marked Gas Oil |
48.95 |
54.72 |
60.39 |
54.17 |
|
Fuel Oil |
2.33 |
2.32 |
2.31 |
1.78 |
|
LPG (Other) |
5.43 |
6.52 |
7.58 |
7.53 |
|
Auto LPG |
0.20 |
0.03 |
0.07 |
0.11 |
|
Natural Gas |
43.13 |
44.51 |
56.54 |
51.68 |
|
Solid Fuel |
0.00 |
0.00 |
7.32 |
17.23 |
|
Total |
298.23 |
353.95 |
388.38 |
385.36 |
Please note that the receipts shown for Carbon Tax for 2014 are provisional and are subject to revision.
