Crisis looms as hauliers vote on withdrawal of services

Hauliers attending this weekend’s Annual Conference of the Irish Road Haulage Association will vote on a motion to withdraw their services in protest at the Government’s failure to address the impact of rising fuel costs on their business.

Delegates representing more than 1,000 haulage companies throughout the country will also debate and vote on a motion to withhold VAT and PRSI payments until the Government responds to its call to introduce a fuel duty rebate.

Hundreds of hauliers representing the association’s ten branches throughout the country are expected to express their growing anger when they gather at the Annual Conference which takes place at the Strand Hotel in Limerick tomorrow.

Mr Vincent Caulfield, President of the Association, said: "Rising fuel costs are crippling haulage companies. The anger amongst delegates has been intensified by the new Government’s failure to engage on the issue or to recognise their role in guaranteeing the provision of professional and reliable transport services.

“The haulage industry contributed over €1bn to the Irish Exchequer in 2010 and the sector employs over 50,000 people. Rising fuel costs forced over 250 haulage companies to fail or cease trading in 2010 and almost as many are currently on the brink of closure."

The association revealed that the fuel prices have risen from €0.90 to €1.20 per litre over the past 18 months. This has increased the running cost of one HGV vehicle burning 1,000 litres of fuel per week by as much as €300 per week or €15,000 per annum.

Mr Caulfield said: "Our members can not absorb cost increases or taxes of this magnitude when business continues to evaporate."

The association is calling on the new Government to introduce a fuel duty rebate for tax compliant hauliers and to permit licensed freight carriers to charge a carbon tax on services in the same way as VAT.

Mr Caulfield said: "Hauliers paid over €365 million in fuel duty, inclusive of carbon tax, and €45 million in road tax in 2010. Our members are disappointed and incensed by Minister for Finance, Michael Noonan’s failure to even acknowledge our request for a meeting with the Department of Finance.

"The anger amongst members has reached boiling point. Proposals by Government permitting tractors to engage in road haulage and to pull heavy goods trailers on Irish roads have exacerbated the situation and inflamed the mood of hauliers ahead of the conference."