Tánaiste Simon Harris has said that diesel and petrol prices were in a very different place when the Government made the decision to gradually restore excise from 1 September.
“You can see how quickly the global environment can change in four to six weeks. So we have to be humble, agile, and nimble enough to respond to things,” he said.
Mr Harris said the excise cuts were costing roughly around €100 million per month, which would be funded by running a smaller budget surplus.
He also indicated that there would be further measures in the budget to combat fuel poverty.
“We obviously have the fuel allowance scheme, which more people than ever before benefit from this season, which will recommence again shortly. And again, further measures aroound that can be considered in the budget because the budget is the next milestone.”
On carbon tax, the Minister for Finance said no decision has been made yet on whether to go ahead with the next scheduled increase in October, but he said he supported the tax.
“Carbon tax was brought about… and the trajectory was set before there was a war in Ukraine, before there was the situation in the Middle East. So there are policy options for Government to consider, and Government will consider all of them in the round. None of them are free.”
