Road hauliers fighting to survive

THE news from Brussels on our new fishing quotas is indeed welcome, the more so because of the economic situation.

Minister Simon Coveney is to be congratulated. Mr Coveney might now look at the means and cost of getting these catches to markets, both of which are controlled here in Ireland and not Brussels. The hauliers who will do that job are under huge onslaught from this government, which in the budget increased both the cost of fuel and road tax on our trucks. The register of licensed hauliers has seen a decrease of 25% in the last two years and of those remaining, their fleets have been significantly reduced.

In the budget Minister Michael Noonan chose to increase road tax to such an extent that it now costs €3,300 for the average truck engaged in carrying our fish to market whilst our Northern Irish hauliers will pay £600 to £800 per annum. The average truck holds 1,500 litres (which they use per week) and this has risen to €1.32 (wholesale) whilst central heating oil costs €0.89 per litre of which the average household will use 2000 litres pa, the minister has chosen to protect the latter.

The Irish Road Haulage Association, in a pre-budget submission to the Minister for Finance, showed the way forward to increase the tax yield from hauliers’ fuel by doing away with the so-called “green diesel” and introducing a rebate to legitimate tax-compliant hauliers. The scheme we sought is similar to that existing for the fishing industry who are rebated on both fuel and carbon taxes. The submission showed that by reducing the cost of diesel fuel to licensed hauliers those hauliers would buy their fuel in Ireland rather than on the continent where fuel is up to 20 cents per litre cheaper and Irish hauliers are availing of rebates from those governments. Additionally, we showed the money to be saved by doing away with rebated “green” diesel. This diesel is currently a growing industry in Ireland. Retail Excellence Ireland says 12% of all diesel sold at pumps is “washed” green diesel. The criminals engaged in this washing pour the acid effluent from their “washing” activities into streams, rivers and lakes causing appalling environmental damage in addition to defrauding the government of an estimated €120m in taxes. Combined with this loss, (the cost of subsequent cleaning up and prevention is excluded) and the gain from increased purchase of diesel in Ireland would lead to an increase in tax revenues of up to €500m, a win for both the industry and government.

I am at a loss as to why Mr Noonan ignores these facts. Hopefully Mr Coveney won’t.

Jerry Kiersey

Deputy vice-president

Irish Road Haulage Association

Bracetown

Clonee

Co Meath