Sharp rise in motor fuel prices in August - AA Ireland
There was a sharp increase in average motor fuel prices in the past month, according to analysis by AA Ireland.
Over the past month, the average price of a litre of diesel on Irish forecourts has surged by 19 cents, reaching €1.92, while petrol prices have climbed by 9 cents to €1.84. This means that motorists are now spending an extra €9.50 per 50 litres of diesel and €4.50 per 50 litres of petrol compared to early July.
The government had temporarily increased fuel excise cuts to 32 cents per litre of diesel and 27 cents per litre of petrol in April. However, these reductions are scheduled to be phased out between September and December. Irish Finance figures reveal that €328 million in VAT was collected on diesel and petrol during the first five months of the year, with the majority collected during April and May.
The sharp rise in fuel VAT receipts is believed to coincide with the increase in pump prices following tensions in the Middle East. Sinn Féin TD Darren O Rourke warns against unwinding the temporary excise cuts, stating that families must bear the cost of fuel and it is simply unaffordable in the current cost-of-living crisis. He believes that the government should respond to the situation.
The government maintains that the support package for hauliers, farmers, and others since the latest Middle East conflict amounts to over €1 billion, which is significantly larger than the increased VAT received by the Exchequer. They claim that while they cannot offset all fuel price increases driven by market factors, these measures have provided significant relief to those most affected.
Aontú leader Peadar Tóibín echoes O Rourke's concerns, urging the government to halt further excise hikes before people take to the streets in protest, as they did during national fuel protests earlier this year. Meanwhile, AA Ireland attributes the shift in pump prices to global market conditions, primarily driven by increases in oil prices. They advise motorists to prepare for further price increases if wholesale prices remain high and to perform vehicle maintenance to improve fuel efficiency.
Written by urgent.news from RTE News's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
