Budget 2021: Petrol and diesel group calls for carbon tax hike
To Ireland By The Transition Tax Are Has Carbon 2050 Government We The For Fully Neutrality Fuels If By Carbon 50 Controversial Said To Must Increase €7
The Irish petrol and diesel industry has called for a hike in carbon taxes in the upcoming budget.
Fuels For Ireland has said the Government must increase the controversial carbon tax by €7.50 if we are to fully transition to carbon neutrality by 2050.
Finance minister Paschal Donohoe has confirmed that another carbon tax increase is on the cards, but has said the exact amount has yet to be hammered out.
"I have already indicated that there will be a further move in carbon taxation," he said on Friday.
Fuels For Ireland CEO Kevin McPartlan said he understands that people may think the group's call for an increase in carbon levies is like "turkeys voting for Christmas".
"I think it's more like turkeys thinking that maybe some people should be eating beef or vegetable bake or salmon — we know Christmas is coming, it's inevitable," he said.
"We know that we're going to carbon neutrality. We know that the target is 2050, we're committed to hit that.
"The carbon tax has been well flagged. What is important now is what they do with that revenue. So, we believe, for example, that the climate action fund should be resourced from the carbon tax."
Citing older people who often cannot afford to sufficiently upgrade their homes, or those living in rural areas who are reliant on cars, Mr McPartlan hit out at the Government for adopting an "ideological purity" in relation to achieving carbon neutrality and said the current plan would "cripple" many.
"The Government has this ambition that it will have 1m electric vehicles on the road by 2030," he said. "Now, we think that it would make far more sense to say: 'We will have 1m zero-emission vehicles'. It's a subtle distinction, but it sends a signal to the markets that we're not only interested in electric vehicles."