Dáil Éireann Debate, Wednesday - 16 October 2019
219. Deputy Imelda Munster asked the Minister for Transport, Tourism and Sport the arrangements his Department has made with the Department of Finance and the NTA to ensure that increases in carbon tax on fuel will not result in price hikes in public transport fares; and if he will make a statement on the matter. [42381/19]
Amharc ar fhreagraIt is now clearly recognised that Ireland must significantly step up its commitments to tackle climate disruption. My Department has put in place a twofold approach to tackle this climate challenge; firstly, by continuing to invest in the public and sustainable transport network to develop capacity and increase attractiveness of alternatives to private car travel; and secondly, by encouraging a transition away from fossil fuels towards lower emitting alternatives.
A move away from carbon-intensive fuels is therefore required if we are to achieve our decarbonisation objectives. Undoubtedly, such a move will also have clear co-benefits for our air quality, particularly in urban areas, and consequently for public health. As the Deputy will be aware, the Climate Action Plan called for the implementation of a carbon tax of at least €80 per tonne by 2030 and an assessment of the trajectory of increases over successive budgets. The changes to carbon tax under Budget 2020 represent the beginning of this trajectory; and while the increase from €20 to €26 is small, I expect that, over the longer term, these changes will have the effect of incentivising transition towards non carbon taxed transport fuels.
In relation to possible price hikes in public transport fares due to the increase in carbon tax on fuel, the National Transport Authority (NTA) has responsibility for public transport fares and I have therefore forwarded the Deputy's question to the NTA for direct reply. Please advise my private office if you do not receive a response within ten working days.
