← Back to debate record, 2026-04-21
2026-04-21
Pearse Doherty
question
233. Deputy Pearse Doherty asked the Tánaiste and Minister for Finance if he will consider the maximum removal of excise duty, both carbon and non-carbon, from green diesel, given the vital role of green diesel in primary production like farming and other sectors such as construction; and if he will make a statement on the matter. [26926/26]
Pearse Doherty
(recorded as: Deputy Pearse Doherty)
The Minister steadfastly refused to cut excise duty on green diesel, despite all of the evidence and the knowledge that farmers are under serious pressure. The reason is that the excise duty on green diesel is carbon tax. It is the carbon component. Does the Tánaiste know something? A farmer does not care what it is called. He does not care whether it is excise, carbon or whatever else. He just knows that the price has gone from 97 cent a litre up to €1.80 and, as Minister for Finance, the Tánaiste is refusing to cut it at the pumps. He has the ability today to still support farmers in a way that really matters, right here, right at the pumps, by actually removing carbon tax from green diesel. Why will he not do it?
Simon Harris
(recorded as: Deputy Simon Harris)
If I adopt the approach as Minister for Finance of abolishing taxes and increasing spending, it does not get us to a good place as a country. That is why. It is not a sustainable economic policy to abolish that tax and increase public spending. We know where that will get us. There are legitimate conversations we can have around windfall receipts and surpluses and around how to deploy them but the Deputy and I know that it is done in a one-off space. You do not do that in relation to more consistent measures and eroding the tax base would be doing a disservice to people in rural and urban Ireland as well. The Deputy made the point - and I take it - that the farmer could not care whether it is carbon tax or not carbon tax; they just quite rightly care that the cost of green diesel is just too high. I accept that point but I would say back that they do not particularly care what lever we use to help them only that we help them. That is why is addition to the NORA levy and in addition to deciding not to proceed with the increase, we did also put in place a scheme. I accept the point from farmers and others that there needed to be a scheme and needed to be assistance. As the Deputy knows very well, we brought in a specific scheme - a fuel subsidy support scheme - under the Minister for agriculture's remit to assist farmers, agricultural contractors and fishers facing unprecedented increases in fuel payments. The payments will cover the months of March up until the end of July, which, as the Deputy knows, coincides with the peak fuel usage on farms. The scheme will provide around €20 million per month in supports, and it is worth approximately 20 cent per litre of marked gas oil, MGO. When that is combined that with the other measures, it is a significant, important and proportionate response as well. We have done some elements in relation to excise. Other than the carbon element, I admit there was not much to do. We did take action on the excise and on NORA and we have supplemented that with a 20 cent scheme that is worth roughly 20 cent per litre of MGO. That is the balanced approach we have taken to try to help.
Pearse Doherty
(recorded as: Deputy Pearse Doherty)
It would cost €14 million a month to actually remove carbon tax from green diesel, the cost of which has gone through the roof for farmers. Talk to agricultural contractors and talk to ordinary farmers. Talk to the farmers who are telling me that this scheme, which we have not seen as the applications are not even open yet because this a Government that dithers, delays and only acts when it is pushed into things, is going to create more paperwork. What the Government will not listen to is that it has the ability to reduce the excise duty on green diesel at the pump for the farmer right now. It would cost €14 million a month in the context of a surplus of over €9 billion, money we are going to take in this year, and we are not going to spend. The Tánaiste should not give me his guff about this breaking the economy. Supporting farmers is the right thing to do. It will not break the economy. Supporting farmers is what any responsible Government should be doing. The ability is here to support people in terms of the scale of this crisis but the Government is refusing to do it, and the reason it is refusing to do it is for the simple reason it is called carbon tax. Is that not the truth?
Simon Harris
(recorded as: Deputy Simon Harris)
No, the truth of the matter is that Sinn Féin is isolated on this issue. We heard a lot about the united Opposition. We had a vote in the Dáil on this issue. Labour, the Social Democrats, the Green Party, the Government parties, the Government-supporting Independents, an overwhelming majority in the Dáil, believe that the Sinn Féin position is short-sighted, short-termed and populist-----
Pearse Doherty
(recorded as: Deputy Pearse Doherty)
The people backed me and-----
Simon Harris
(recorded as: Deputy Simon Harris)
The Deputy is getting like-----
John McGuinness
(recorded as: An Leas-Cheann Comhairle)
Deputy Doherty-----
Pearse Doherty
(recorded as: Deputy Pearse Doherty)
Talk to the people and the Tánaiste will get that message very clearly.
John McGuinness
(recorded as: An Leas-Cheann Comhairle)
Deputy Doherty, allow the Tánaiste to conclude.
Pearse Doherty
(recorded as: Deputy Pearse Doherty)
You are living in this bubble too long, Simon. Go and talk to ordinary people.
Simon Harris
(recorded as: Deputy Simon Harris)
If the people backed Sinn Féin, the Deputy would not have been the Opposition's spokesperson on finance for 16 years. The people do not back Sinn Féin, so stop speaking-----
Pearse Doherty
(recorded as: Deputy Pearse Doherty)
For the past two elections, we have had more seats that Fine Gael.
John McGuinness
(recorded as: An Leas-Cheann Comhairle)
Deputy Doherty, please.
Simon Harris
(recorded as: Deputy Simon Harris)
The Deputy is over there shouting and roaring for 16 years. He must be exhausted but while he is over there shouting and roaring, we are working with constructive people in opposition and constructive people in government to try to pull this country together. While Sinn Féin wants to cause chaos, we have taken measures to help farmers. I think the Deputy would accept that the IFA represents farmers. It has been in the room and has welcomed this scheme. He can pooh-pooh it. He is not a farmer and neither am I.
Pearse Doherty
(recorded as: Deputy Pearse Doherty)
The Minister needs to get his head out of the clouds and sand and talk to ordinary people. He can pontificate all he wants, point fingers at me and say I am isolated and people do not back me in here. I do not give a damn because I know that I am on the side of ordinary Irish people. I know that people are being pushed to the pin of their collar. I have met them on the streets and in homes across the State over the past number of weeks. I know they need action and leadership and they are not getting it from the Minister. That is what I am doing here. I am giving them a voice and I do not care who else is on my side because I know the side I am on. The Minister is on the wrong side. The question people will ask me after this exchange will be how the fella across from me justifies €9 billion of a surplus. Last night I spoke to an elderly person in Galway who has no fuel in her tank to heat her home. Carers told me the old woman apologised to them because the house was so cold. At a time the Exchequer's coffers are bursting, people are going cold. That is not a republic that is worthy of the name. The Minister has the opportunity to change that and make a real difference for people, but he refuses to do so because he is too long in this bubble and is out of touch with ordinary people.
Simon Harris
(recorded as: Deputy Simon Harris)
The Deputy is in a so-called bubble longer than me, but his anger might be making him forget that fact. He is in the bubble a long time. I am not sure who he thinks elects me to Dáil Éireann, but he should come to Wicklow and meet the people who have never not elected me. He should not give me guff about who represents the ordinary people. Everybody in here has a mandate and people who vote for everybody are ordinary people. The Deputy does not have a monopoly on that. He likes to suggest that the Government has not acted. Objectively, and ordinary people know this, the Government has put in place one of the largest packages in Europe. We have reduced the cost of diesel at the pump by 32 cent per litre. We have reduced the cost of petrol by 27 cent per litre. We introduced a scheme for farmers, hauliers and fishers. We cannot just see this crisis through the today and tomorrow because the Deputy and I know it will not end today or tomorrow. We have to prepare for the time ahead and that is why we published a series of economic forecasts that show how the economy will grow and inflation will impact in three different scenarios. That allows us in here - constructive ideas are welcome - and outside of here to frame budget 2027 and begin to put in place measures to help people. We will do so and we will get through this and do more to support people. We cannot do everything in the here and now. We certainly cannot abolish every tax. The Deputy does not want to just abolish the carbon tax. He wants to abolish the property tax. If we abolish, abolish, abolish, how do we fund public services and make sure we have the resources we need in the future? He cannot ask me to abolish every tax that he does not like and increase public spending.
Pearse Doherty
(recorded as: Deputy Pearse Doherty)
I am not asking the Minister. He should not be stupid. He should not be silly.
Simon Harris
(recorded as: Deputy Simon Harris)
We cannot do both.