Fuel package is aimed at supporting families and jobs, says Dillon

Minister of State Alan Dillon has said that over recent days it has become “crystal clear” that families, workers and businesses across Mayo and the country are under intense pressure from fuel prices that are entirely outside their control.

“Over the past number of days, one thing has been undeniable,” Minister Dillon said, “People and businesses across Mayo and right across Ireland are under serious pressure from fuel costs caused by global events, not domestic decisions.

"To respond to that pressure, the Government has introduced a focused fuel support intervention designed to deliver relief quickly, fairly and in a way that has a real impact on the ground.

"The package represents a €525 million intervention, building on the €250 million announced three weeks ago, bringing the Government’s total response to €775 million.

“This is a significant and responsible intervention,” Minister Dillon said, “It reflects the scale of the challenge people are facing and the Government’s determination to act.” 

He said the measures deliver immediate cuts at the pumps on petrol, diesel and green diesel, taking effect from this week and remaining in place until the end of July.

However, Minister Dillon stressed that the package goes far beyond motorists and the 2.8 million who go to work alone.

“This is not just about drivers filling their cars,” he said. “This package is targeted squarely at the people who keep the country moving our farmers, hauliers, fishers, agricultural contractors and rural businesses.” 

In recent days, the vulnerability of supply chains has been brought sharply into focus as fuel prices spiked overnight due to global conflict and instability in the Middle East.

“What we’ve seen is how exposed people are when energy prices surge suddenly because of international events,” Minister Dillon said, “That’s why Government has stepped in – because people cannot be left to carry global shocks on their own.” 

The measures are temporary, proportionate and targeted, designed to protect jobs, support rural communities and give families and businesses breathing space at a time when many are under real strain.

“These measures are about fairness and responsibility,” Minister Dillon said, “Government has stepped in, taken a hit to its own revenues, and delivered real reductions where they matter most.”

He said the package delivers immediate fuel price relief, with excise reductions on petrol, diesel and green diesel taking effect immediately and remaining in place until July 31st next.

Total reductions now stand at: 27 cent per litre on petrol; 32 cent per litre on diesel; 7.4 cent per litre on marked gas oil (green diesel). These reductions include the NORA levy.

"Since the escalation of the global energy crisis, petrol excise has been cut by 36%; diesel excise has been cut by 47.7%; green diesel excise has been cut by 30.8%," said Minister Dillon. "For a typical 60‑litre fill, this represents savings of approximately: €16 on petrol; €19.20 on diesel; €4.44 on green diesel, before VAT."

Minister Dillon stated that these measures do not amount to Government profiteering. 

“Let me be absolutely clear this is the opposite of profiteering,” he said. “The State is deliberately easing the burden on families, households, motorists and businesses by putting money back into people’s pockets during the worst global inflationary shock in decades.

“This crisis was not caused by Government,” he added. “It is driven by international conflict and instability. Our response has been to shield people, not squeeze them.”

Minister Dillon said the package also provides direct, targeted supports for sectors most exposed to fuel costs and most critical to local and regional economies, including farmers, agricultural contractors, fishers, haulage and coach operators and rural businesses.

"Key measures include a €100 million Fuel Subsidy Support Scheme for farmers, agricultural contractors and fishers, in addition to excise cuts on green diesel.

"Payments under this scheme are backdated to March 1st and will run through to the end of July, aligning with peak fuel usage periods for farm and field work.

"Supports are linked to verified fuel usage in the previous year, ensuring assistance is focused on those most impacted. Farmers and agricultural contractors will benefit from support equivalent to approximately 20 cent per litre of green diesel used, which, when combined with the 7.4 cent excise reduction, represents a substantial easing of costs.

"Approximately 120,000 farmers and 1,500 full‑time agricultural contractors will be eligible.

"Up to €5 million per month will also be allocated to support fishers and other highly fuel‑dependent sectors, including forestry and specialist horticulture, with tailored schemes developed in line with EU State Aid requirements.

"In addition, the Department of Transport will introduce a €40 million Transport Support Scheme for hauliers and passenger transport operators. The scheme will provide direct payments based on fleet size and will include licensed hauliers, non‑licensed heavy vehicle operators, coach operators, Local Link services, school transport providers, commercial passenger operators.

"Payments will be made monthly where diesel prices exceed €1.90 per litre nationally, as verified by the CSO, and will be available only to legitimate, tax‑compliant operators."

Minister Dillon also confirmed that the planned Carbon Tax increase due on May 1st has been deferred until Budget Day, providing further relief for households reliant on home heating oil and kerosene.

Commenting on recent protests, Minister Dillon reiterated that people have a fundamental right to peaceful protest, but that right does not extend to unlawful actions that endanger public safety or disrupt critical infrastructure.

“Peaceful protest is a cornerstone of democracy,” he said. “But the whipping up of anger and the erection of illegal blockades undermine public safety, damage the economy and infringe on the rights of others trying to go about their daily lives.” 

Minister Dillon said An Garda Síochána acted proportionately and professionally in difficult circumstances.

“The Gardaí were right to act,” he said. “Blocking ports, fuel depots and supply routes does not lower prices. It creates risk, uncertainty and harm particularly for workers, small businesses and vulnerable people.” 

He added that Government engagement through established, representative organisations has once again delivered results. 

“This package was delivered through responsible engagement, careful assessment and focused action,” Minister Dillon said. “Governing means solving problems, not inflaming them.” 

Minister Dillon concluded: “No Government can fully insulate people from global shocks, but we can share the burden. That is exactly what this package does easing pressure, supporting key sectors, and protecting communities across the country.”