Watch: Fuel subsidy scheme 'will be easier than people think'

The fuel subsidy scheme was the main focus of a Kerry IFA meeting in Tralee
The fuel subsidy scheme was the main focus of a Kerry IFA meeting in Tralee

A government fuel subsidy scheme offering a rebate of up to 20c/L on green diesel "will be easier than people think", a meeting in Co. Kerry has heard.

Jackie Healy-Rae made the comments as he addressed Kerry IFA members in Tralee last night (Thursday, April 17).

The Kerry county councillor said his father Michael Healy-Rae, who was not at the meeting, wants to "recharge his batteries, get going again and to represent every person inside in this room".

On Tuesday, Michael resigned as Minister of State at the Department of Agriculture, Food and the Marine (DAFM) over the government's handling of the fuel protests.

Cllr Jackie Healy-Rae said they had spoken with many people at the meeting in relation to the impact of "unsustainable" fuel costs.

"It's been a tough week for everybody, I recognise that and I can see that," he said.

Fuel subsidy scheme

The €100 million Fuel Subsidy Support Scheme was unveiled as part of the latest round of government measures to address rising fuel costs.

The scheme will be based on the farmer or contractor's fuel usage in 2025 and will be paid out across the five months of March to July.

"You won't have to be VAT registered, you'll need a tax clearance cert, that's what you'll need. You'll need your accountant to confirm your fuel usage from last year.

"It will be an easier scheme than most schemes. It will be administered as soon as possible," Cllr Healy-Rae said.

Robert Malone, IFA senior policy executive, said that a meeting between the government and farm organisations is due to take place on Monday (April 20) to work out the details of the scheme.

He said that the 20c/L being offered in the scheme is "not enough to alleviate the bridge from where diesel was two months ago to where it is today".

The IFA had sought a 70c/L rebate on green diesel from the government.

The farm organisation is continuing to call for the removal of carbon tax on green diesel, along with a fodder support scheme and a significant increase for the tillage support scheme.

Fuel protests

Malone said the IFA and Association of Farm and Forestry Contractors in Ireland (FCI) met with Tánaiste Simon Harris and Minister for Agriculture, Food and the Marine Martin Heydon on April 1.

"We emphasised to them that something needed to be done for green diesel

"They said they listened but really it goes back to that meeting, they should have acted straight away. They were left under no illusions of what was building on the ground.

"The farm contractors in particular told them there was protests going to happen. They weren't organised by either IFA or FCI, but there was a feeling on the ground that people had to act.

"We told the ministers that. I'm not sure whether they believed it how much feeling of hurt was on the ground or not. But they were left in no doubt on Wednesday, April 1 that there would be action very soon after Easter," he said.

Kerry IFA chair Jason Fleming, who took part in the protests, said he has "never seen the likes of the frustration on the ground" as he did in recent weeks.

Several farmers at the meeting hit out at the IFA's decision not to officially support the fuel protests. "IFA turned their back on this protest," one farmer said.

Farmers who took part in the protests also spoke about their disappointment and anger in how they were spoken to by the Taoiseach Micheál Martin and Tánaiste Simon Harris.

While others called for further investigation into the variation of fuel prices at the pumps.

Kerry Sinn Féin TD Pa Daly claimed that there is "no proper holding of account" of energy companies.

Carbon tax

Many of those present at the meeting urged Minister for Children, Disability and Equality and Kerry Fianna Fáil TD Norma Foley to remove carbon tax from green diesel.

"The carbon tax is a tax on food production. There is no basis for the carbon tax on green diesel," Neilus O'Connor, a contractor who was part of the protest at Foynes, said.

As part of the latest government package, a planned increase in carbon tax due to take effect next month is being postponed until the budget in October.

Minister Foley did not address the issue of carbon tax directly but said she had heard the concerns raised during the meeting and will take them back to government.

She said the combined government measures mean a 27c/L reduction for petrol, 32c/L reduction for diesel and 27.4c/L for green diesel.

The minister said the purpose of Monday's meeting is to make the fuel subsidy scheme "as simple, as accessible and as quickly accessed as possible".

Kerry IFA second delegate Kathleen Herlihy asked Minister Foley why the fuel rebate could not be given to farmers at the point of purchase rather than having to apply for a scheme.

Minister Foley said this is the first time a scheme has been put in place for agri-contractors.

"It's not as if it can be done with the stroke of a pen, because there's a lot of unknowns here that haven't actually been done before," she said.

The minister said there is "an absolute understanding" that those who have started in business this year will be included for support.

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