There were intense debates in the Dáil concerning the rise in motor fuel excise duties, causing the assembly to temporarily suspend its operations. A controversy was ignited following a partial hike in petrol, diesel and marked diesel taxes after a leap in prices on April 1st.
Both Pearse Doherty, finance spokesperson for Sinn Féin, and independent member of parliament Danny Healy-Rae, openly lambasted the government for their decision to restore excise fees on petrol, diesel and marked diesel. These charges had been lowered in 2022 due to the economic strain.
However, Finance Minister Michael McGrath responded by urging Sinn Féin to admit the truth about their proposed 8-penny increase in their alternative budget, which exceeded government expectations. He accused Healy-Rae of having the privilege of avoiding difficult choices and engaging in pandering to the public.
During a finance-oriented discussion, McGrath detailed that the lower excise of 21p a litre for petrol, 16p for auto diesel and 5.4p for marked diesel were implemented and prolonged past the initial expiry date in August 2022. As per him, fees were hiked on April 1st, with a plan to revert to original excise levels on August 1st this year. Subsequently, there will also be an increase in carbon emission charges in October from €56 to €63.50.
Doherty pleaded with McGrath to avoid additional increases, stating that, for many, having a car is a necessity for work, medical appointments or shopping. He noted that the upcoming government-imposed excise hikes would render petrol more affordable across the border by 20p a litre at the 390 petrol stations on the border. Doherty highlighted the British government’s extended relief on excise duties, questioning McGrath’s response to the impact on businesses like the Lifford service station, employing around 50 people, and companies in Ballyshannon, Ballybofey, Cavan, or Dundalk.
Mr. McGrath pointed out that business owners merited transparency, indicating that Sinn Féin’s policy had laid out plans to hike petrol prices by 8 cents and diesel by 6 cents in April. “You ought to revisit what you disclosed and what the alternative budget of Sinn Féin featured,” he added, emphasizing that this was essentially a matter of handling the country’s funds with prudence.
Mr Healy-Rae countered, saying, “One can’t extract blood from a stone,” and observed that motorists would soon reach their limit with the exorbitant fuel prices nearing €1.80 per litre. He pleaded, “Please, for the sake of the road users, stop exploiting them as you have been. You’re crucifying them by insisting on reimposing these hikes.”
However, Mr McGrath pointedly remarked that Healy-Rae, a perpetual opposition party member, was spared from making challenging decisions while he propagated comforting narratives. Although Healy-Rae disputed this, stating that he too bore the burden of inflated fuel prices like everyone else.
In his defence, Mr McGrath highlighted that a significant sum of over €1 billion was allotted as tax relief by the Exchequer due to this price cut, and acknowledged a continued appraisal considering the market’s erratic nature.
Debating border petrol station’s plight, Mr McGrath debunked further controversy by pointing out that the cross-Border price difference wouldn’t be 20 cents per litre. Mr Doherty accused him, claiming that the initial price increase was his choice, and he intended to follow it with another in August and October, to which Mr McGrath retorted that all Healy-Rae did was echo what everyone wished to hear.
Despite repeated calls for decorum from acting chairwoman Verona Murphy, the bickering persisted, leading to the session’s temporary adjournment.