Dáil Éireann Debate, Thursday - 25 June 2026
20. Deputy Matt Carthy asked the Tánaiste and Minister for Finance the amount raised through the carbon tax in each year 2019 to 2025; and the amount projected to be raised in each of the years 2026 to 2030. [47950/26]
Amharc ar fhreagraFull detail with annual amounts in tabular form will be sent to the Deputy directly.
I am further advised by Revenue that a breakdown of carbon tax receipts, across all fuel and energy types, for the years 2019 to 2025 and previous years is published on the Revenue website.
The Deputy has also requested the amount projected to be raised through the carbon tax in each of the years up until 2030.
In July 2025, my Department published updated Carbon Tax Projected Exchequer Revenue Estimates (2013-2030) as part of the Tax Strategy Group paper on Energy, Environmental and Vehicle Tax. This paper is available on my Department's website.
An updated version of these estimates will be released in due course as part of the Budget 2027 Tax Strategy Group (TSG) papers. The TSG paper includes an examination of the current policy approach of the carbon tax and future policy.
Revenues raised from the carbon tax are allocated for expenditure on just transition and climate positive measures, such as funding social welfare measures, agri-environmental schemes and retrofitting programmes. The net impact of the combined measures funded by the Carbon Tax has consistently been shown to be progressive.
As of Budget 2026, the Government has allocated over €4.2 billion in carbon tax revenue for these purposes since 2020. ESRI analysis consistently shows the lower income deciles are better off as a result of the social protection measures funded by the increased carbon tax.
The Government decision to defer the Carbon Tax increase on home heating fuels and MGO until October was taken in light of the extraordinary circumstances and increased fuel prices created by the conflict in the Middle East. The Government remains committed to our climate action policy which includes the carbon tax as a price signalling tool but has taken this decision to alleviate fuel price pressures being faced by households and businesses at the peak of energy price inflation earlier this year.
Government also extended the fuel allowance season by a further four weeks in order to ease the financial burden on households. This resulted in additional payments of €152 to each of the nearly 470,000 fuel allowance recipients, who are most at risk of fuel poverty.
It meant that a typical household receiving the fuel allowance will have received €1,216 over the course of the fuel allowance season.
