Transport Committee report calls for urgent action to tackle €150 million fuel laundering industry

25 October 2012 

The Committee launched its today Thursday 25 October in Leinster House and recommended that:

• A coordinated and vigorous response from State agencies be sufficiently resourced to ensure that the estimated €150 million loss to the exchequer is minimised;
• a pilot programme commence as soon as possible for a common marker in Ireland and the UK for rebated diesel, which is robust enough to prevent the fuel being laundered;
• the current licencing regime for the selling of oil be strengthened and that greater penalties be put in place for those who knowingly sell illegal fuel, and
• a proactive media approach be deployed to raise public awareness of the detrimental effects of fuel laundering.

The report addresses a number of important issues which are aimed at ensuring the long term viability of the industry. The Committee believes a rebate for tax paid on fuel and a pay-as-you-go system incorporating the use of digital tachographs, along the lines of those in use in other EU Member States, should be explored and considered.

Vice-Chairman of the Committee John O'Mahony TD says: “Our Committee has been concerned about the plight of the road haulage industry in Ireland and has attempted to establish a pathway to secure the long term viability of the industry. Central to this report is the recommendation that the State should dedicate sufficient resources to robustly tackle fuel laundering.  

“We are of the strong opinion that the current estimated €150 million cost to the exchequer of fuel laundering can be significantly decreased, if not eliminated. Not only does such activity undermine legitimate businesses and sustain criminal networks, laundered fuel causes considerable damage to consumers’ vehicles and the environment.

“The report builds on the work of the former Committee on the Environment, Transport, Culture and the Gaeltacht, which held hearings on the issue earlier in the year. The report makes a number of practical recommendations, suggesting that there is much to learn from other EU Member States in their approach to the issue. A copy of the report will be forwarded to the Minister for Finance for his consideration.”

Access report.  

View video of Deputy O'Mahony introducing the report.

For further information contact:
Paul Hand,
Houses of the Oireachtas,
Communications Unit,
Leinster House,
Dublin 2
P: +353 1 618 4484
M: +353  87 694 9926

Committee Membership

Deputies
Michael Colreavy, Sinn Féin
Timmy Dooley, Fianna Fáil
 Dessie Ellis, Sinn Féin
 Terence Flanagan, Fine Gael
 Tom Fleming, Independent
 Noel Harrington, Fine Gael
 Tom Hayes, Fine Gael (Chairman)
 Colm Keaveney, Labour
 Seán Kenny, Labour
Michael Moynihan, Fianna Fáil
 Patrick O’Donovan, Fine Gael
 John O’Mahony, Fine Gael (Vice-Chairman)
 Ann Phelan, Labour
 Brian Walsh, Fine Gael
 
Senators
 Terry Brennan
 Sean D. Barrett
 Eamonn Coghlan
 Paschal Mooney
 Ned O’Sullivan
 John Whelan