Any further Government action on fuel prices has to be “prudent” because “you can’t continue writing a cheque every single month in reduction of excise duties”, Minister for Enterprise Peter Burke has said.
Asked about possible future Government action if fuel prices rise due to renewed conflict in the Gulf, Burke declined to give any promises that support would be restored.
The Government recently decided that the cuts to excise duty on petrol and diesel would be gradually unwound between September and the end of the year, meaning that fuel prices will be expected to rise.
But the recent renewal of hostilities between Iran and the United States has seen the price of oil edge up again, threatening further price increases at the pumps.
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“The Government has always demonstrated its capacity to act, but act in a prudent manner. And we have to be very careful in this regard,” Burke told reporters in Dublin this morning.
“You can’t continue writing a cheque every single month in reduction of excise duties. And that’s why the Government will take stock as we come towards the budget, and make those key decisions.”
Burke was speaking at Dublin Castle where he is chairing a meeting of EU competitiveness ministers as part of Ireland’s presidency of the EU Council of Ministers.
Competitiveness is a key part of the Irish presidency. Officials said that the meeting will focus on three core themes: reinforcing the single market, powering industrial decarbonisation and mobilising finance for scaling companies.
As it is an informal meeting, no firm decisions are taken by the council, though the discussions can pave the way to push through decisions at future meetings.
Asked if he could offer assurances to the workers at Aughinish Alumina that their jobs were safe, Burke said that he expected a report on whether the plant’s exports assist Russia’s war effort in Ukraine “pretty imminently”.
He added: “You’ll have a cohesive Government response in conjunction with the European Union when we have it.”
Pressed on whether there were any assurances for the workers, he said: “Obviously, it’s a very challenging circumstance. The company’s still operating, so, at the moment, no decision has been taken. So, at the moment, I can’t give any assurances in any regard. This is a European issue. Europe has policy responsibility for sanctions. We must remember that. And it’s clear ... they have to take a very significant decision now.”
The Slovenian minister, Leon Korosec, said it was “something to be discussed today. I wouldn’t make a statement on that right here, right now”.
Irish officials said Aughinish was not on the formal agenda for the meeting.
