THE GOVERNMENT HAS confirmed that it will not stop existing fuel supports in September as previously planned. 

In a statement this afternoon, the government said the temporary reductions to fuel excise that were extended in June will now be extended beyond September. 

“In June the Government announced an extension of the temporary reductions to fuel excise and the National Oil Reserves Agency Levy (NORA) and to avoid any cliff edge removal of supports, it set out a pathway to gradually restore rates to pre-reduction levels, starting from 1 September.

“However, it is clear that in the intervening period there has been a change in the global situation and as a consequence the cost of petrol and diesel for consumers,” the statement said. 

It was agreed this morning that the planned increases on 1 September and 1 October will not now go ahead and the next steps will be agreed by government next week. 

An incorporeal cabinet meeting will now take place next week and the Dáil will be recalled early from the summer recess to approve the financial resolution.

While cabinet will have to confirm the date for the Dáil’s early return, it is expected it could be as early as next Friday, 28 August, two weeks earlier than it was initially due.

Over the summer recess, pressure has been mounting on the government to maintain the fuel supports that were put in place in response to rising petrol and diesel prices as a result of the US and Israel’s war on Iran. 

The support package came after protests led by hauliers and farmers brought the country to a standstill in April. 

Following the protests, the government increased temporary fuel excise cuts to 32c on a litre of diesel and 27c for petrol, with plans for these to be unwound in the autumn. The cuts came as part of a wider fuel support package of €750 million.

Just today, Sinn Féin called for the Dáil to be recalled early from the summer recess in order to extend the cuts to excise, with TD Pearse Doherty warning that there would be further protests if supports were unwound. 

Speaking on RTÉ’s Morning Ireland, Doherty pointed to the government surplus of nine billion euro and remarked that extending fuel subsidies to the end of the year would cost €120 million per month.

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In its statement this afternoon, the government said: 

“As a Government, we have said since the conflict in the Middle East began that we would monitor the situation closely and reserve the right to adjust our response as required with nothing ruled out.

“This step-by-step, phase-by-phase approach has ensured that we have made one of the largest fiscal interventions of any EU member state this year when it comes to responding to the impacts of the crisis, helping to reduce the cost burden at the petrol pump, support those most at risk of energy poverty, and assisted key sectors that are critical to keeping our economy moving.”

It said it will continue to remain “agile” and “rule nothing out”.

“Ultimately the greatest economic intervention we can see is de-escalation in the Middle East – and that is still the case,” the statement said.