Dáil Éireann Debate, Wednesday - 13 May 2026
35. Deputy Cian O'Callaghan asked the Tánaiste and Minister for Finance to set out the cost to the exchequer of postponing the carbon tax and carbon tax-related increases on solid fuels, natural gas and mineral oil, respectively, from 1 May 2026 to 14 October 2026; and if he will make a statement on the matter. [35432/26]
Amharc ar fhreagra36. Deputy Cian O'Callaghan asked the Tánaiste and Minister for Finance to set out the expected incremental tax yield during 2026 and in a full year, respectively, from carbon tax increases scheduled to take effect on 14 October 2026; and if he will make a statement on the matter. [35433/26]
Amharc ar fhreagra37. Deputy Cian O'Callaghan asked the Tánaiste and Minister for Finance to set out the expected incremental tax yield for each calendar year from 2026 to 2030 from carbon tax increases on 14 October 2026 and as scheduled through 2030; and if he will make a statement on the matter. [35434/26]
Amharc ar fhreagra38. Deputy Cian O'Callaghan asked the Tánaiste and Minister for Finance to set out the cost to the exchequer of extending the temporary motor fuel excise duty reductions introduced during March and April 2026 from 31 July 2026, to 14 October 2026, 31 December 2026, and 31 December 2027 respectively; and if he will make a statement on the matter. [35435/26]
Amharc ar fhreagraI propose to take Questions Nos. 35, 36, 37 and 38 together.
In relation to Dail Question No 35 (Ref: 35432/26), I am advised by Revenue that the cost of postponing increases on the Mineral Oil Tax (MOT) Carbon Component (CC), Natural Gas Carbon Tax (NGCT) and Solid Fuel Carbon Tax (SFCT), respectively, from 1 May 2026 to 14 October 2026 are shown in the below table.
|
Carbon Tax |
Duty €m |
VAT €m |
Total €m |
|
MOT CC |
16.0 |
1.0 |
17.0 |
|
NGCT |
4.5 |
0.2 |
4.7 |
|
SFCT |
0.6 |
0.1 |
0.7 |
|
Total |
21.1 |
1.3 |
22.4 |
In relation to Dail Questions No 36 (Ref: 35433/26) and 37 (Ref: 35434/26), I am advised by Revenue that estimated yields from increases to carbon tax on MOT, NGCT and SFCT scheduled to take effect from 14 October 2026 and 01 May 2027 are shown in the below table.
|
Increase |
Period |
Carbon Tax €m |
VAT €m |
Total €m |
|
October 14 2026 Deferred May 2026* €71 per tonne of CO2 |
2026 |
6.8 |
0.6 |
7.4 |
|
October 14 2026 Petrol & Diesel €78.50 per tonne of CO2 |
2026 |
10.1 |
1.1 |
11.2 |
|
Full Year Deferred May 2026* €71 per tonne of CO2 |
2027 |
61.4 |
5.1 |
66.5 |
|
Full Year Petrol & Diesel €78.50 per tonne of CO2 |
2027 |
77.7 |
8.7 |
86.4 |
|
First Year May 2027* €78.50 per tonne of CO2 |
2027 |
27.7 |
2.3 |
30.0 |
|
Full Year €78.50 per tonne of CO2 |
|
139.1 |
13.8 |
152.9 |
*The May Increases relate to non-propellant fuels subject to MOT, NGCT and SFCT
In relation to Dail Question No 38 (Ref: 35435/26), I am advised by Revenue that the estimated costs of extending the temporary reductions to the MOT Non-Carbon Component (NCC) of Petrol, Diesel and Marked Gas Oil (MGO) from 31 July 2026, to 14 October 2026, 31 December 2026, and 31 December 2027 respectively, are shown in the below table.
|
Period |
MOT NCC €m |
VAT €m |
Total €m |
|
To 14 October 2026 |
220.0 |
24.1 |
244.1 |
|
To 31 December 2026 |
452.2 |
49.6 |
501.8 |
|
To 31 December 2027 |
1,538.8 |
167.5 |
1,706.3 |
