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Excise duties were meant to be reintroduced in October last year but were postponed. Alamy Stock Photo

Planned increase to excise duties could put petrol stations near border 'under grave threat'

A representative group is calling on Government to postpone the planned increases for next month.

PETROL STATIONS IN six counties bordering the North of Ireland could be under threat financially if the planned increase to excise duties go ahead next month, a industry representative has warned.

Fuels for Ireland (FFI), who represent half of the fuel and energy providers in Ireland, have said the increase to excise duties in the Republic will result in prices 15 cents cheaper in Northern Ireland.

Kevin McPartlan, CEO of FFI, has called on the Government and Minister for Finance Michael McGrath to postpone measures to increase the tariffs next month and in August to reduce the pressure on the petrol stations in the counties.

According to McPartlan, filling stations in Counties Louth, Cavan, Monaghan, Leitrim, Sligo and Donegal could go out of business because of potential customers crossing into Northern Ireland and choosing the fuel up there.

Excise duties, which were meant to be introduced in October last year, were postponed and split into two planned increased for April and August this year by McGrath in Budget 2024.

This was as a result of mounting concerns over the cost of living and fuel being place on customers at the pumps and elsewhere.

Similar measures were recently taken in the United Kingdom last week in its Government’s Spring Budget, for reasons relating to the already high cost of fuel at this time.

FFI and McPartlan are now calling on Government to follow suit with the United Kingdom and make a second postponement to the reintroduction of excise duties.

“Fuels for Ireland urges the Minister for Finance and the Government to reconsider the decision to increase excise duty and to postpone it in light of the UK’s actions,” McPartlan said today.

The group’s CEO also warned Government on the adverse effects that cross-border fill-ups could have on the Exchequer and urged them to think twice about reinstating the full tariffs on the fuel.

McPartlan told RTÉ Radio’s News at One today that filling stations in the six border counties are already seeing a 20-30% drop in sales, before the new increments. He said the increases will have “huge impacts” on their businesses.

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