A TD has welcomed government plans to intervene in the rising cost of fuel, but has also called for targeted measures on the cost of green diesel for farmers.
Cork North-West TD Aindrias Moynihan was speaking after a speech in the Dáil last night (Wednesday, March 18) by Tánaiste and Minister for Finance Simon Harris.
Minister Harris told the Dáil that the government is now finalising what he said will be an "appropriate intervention" for the areas in which there is "most acute pressure and challenges".
The government's response is set to be agreed at the next cabinet meeting, which is planned for next week.
The Tánaiste indicated that any intervention would be for "a short time".
Minister Harris also indicated that the government intervention would not be targeted at the Carbon Tax, saying the tax is "not the cause of the current spike in energy prices".
The Tánaiste told the Dáil that, where there is evidence of unfair pricing or behaviour that is not consistent with consumer law, it will be investigated, and "acted upon", adding that the government is willing to strengthen laws in that area.
Commenting after the Tánaiste's speech, Deputy Moynihan, who is the chairperson of the Joint Oireachtas Committee on Agriculture and Food, said that the rising diesel costs are placing unsustainable pressure on farmers, calling for targeted intervention for the sector.
"Farmers are being squeezed from every angle, and fuel costs are now one of the most immediate and unavoidable pressures," he said.
"Green diesel costs are a farming issue now but will soon be part of the wider cost-of-living issue.
"When diesel prices rise to this extent, that cost does not stay on the farm. It feeds directly into food production and ultimately lands on the shelves in higher prices for consumers," the Fianna Fáil TD warned.
"At current rates of €1.40 to €1.50 per litre, a routine 1,000-litre fill is costing farmers up to €1,500. For many, that is an upfront cost they are being forced to absorb with little or no margin to cushion it.
"If this continues unchecked, we will see the consequences right across the food chain, from producers to processors and, ultimately, at the till."
Deputy Moynihan said there is a "clear case" for targeted, time-bound intervention to stabilise costs and protect both farmers and consumers.
"The longer this is left unaddressed, the greater the knock-on impact will be," he said.
"Targeted supports must now be considered as a matter of urgency to ensure farmers can continue to operate sustainably while avoiding further inflationary pressure on food prices."