Dáil Éireann Debate, Tuesday - 21 April 2026
424. Deputy Aisling Dempsey asked the Tánaiste and Minister for Finance if his Department has plans to amend the excise rebate scheme to make it easier to navigate and more cost effective for small bus operators; and if he will make a statement on the matter. [27896/26]
View answerThe Diesel Rebate Scheme is a State aid which provides qualifying road haulage and passenger transport operators with a partial repayment of Mineral Oil Tax paid on auto-diesel. The scheme operates in accordance with the EU’s Energy Tax Directive, and the General Block Exemption Regulation on State aid. In 2025 almost €40 million was paid out under the scheme, providing targeted support to the road haulage and passenger transport sectors.
The Diesel Rebate Scheme rate of repayment is linked to the average retail price of auto-diesel, based on data from the Central Statistics Office. A 7.5 cents level of rebate has applied to all claims over the period from quarter 4 2021 to quarter 4 2025. In response to the current fuel crisis, I recently increased the repayment cap from 7.5 cents per litre to 12 cents per litre. This enhanced repayment rate applies to claims covering fuel purchased from 1 January to 30 June this year.
The Diesel Rebate Scheme quarterly repayment period is prescribed in the Mineral Oil Tax Regulations 2012. Repayment claims are submitted to Revenue quarterly in arrears. The current process allows for operators to make their claim, via the Revenue-on-line-system (ROS), from the first day, and up to four months, after each quarter ends. I am advised by Revenue that when introduced in 2013, a quarterly repayment period was selected as an appropriate balance between supporting business cash flow, minimising administrative overheads for scheme participants and Revenue and ensuring the efficient and controlled operation of the scheme.
I am further advised by Revenue that they are cognisant of the current difficulties being faced by licensed operators and recognise that the Diesel Rebate Scheme will provide much needed cashflow to the industry. Revenue has reviewed internal processes and has identified a number of IT solutions which are shortly to be implemented to issue refunds faster to compliant taxpayers. In this regard, Revenue will continue to actively monitor the scheme to ensure timely refunds issue to compliant claimants.
Revenue is currently not considering a change in filing frequency but will keep the scheme under review. Any consideration of a move to monthly filing would require stakeholder consultation as such a move would place further administrative burdens on both claimants and fuel card providers alike.
