Press Releases
Spiralling fuel costs highlight need for Government action on bio fuels sector – Fiona O’Malley TD
Progressive Democrats TD Fiona O’Malley has today claimed that the only real and lasting solution to spiralling oil costs is for the Government to ‘get serious about its efforts to develop alternative fuel sources.’
‘We are one of the most oil-dependent countries in the world. Experts agree that oil prices are an upward curve and we could soon see prices of $100 dollars a barrel. The only long-term solution for a country like Ireland is to develop alternative fuel supplies.’
‘However, our bio-fuels industry is virtually non-existent due to a failure by successive administrations to give it the kick-start it needs.’
‘The 2004 Finance Act contained provisions to stimulate activity in the bio-fuels sector by providing tax relief for bio-fuels projects. Unfortunately, the relief was capped at 10,000 tonnes – a figure so low as to render the production of bio-fuels uneconomic.’
‘Calls for these proposals for tax relief closed last Friday (13th May). It will be interesting to see if many producers feel encouraged enough to enter the tendering process, given the uneconomic conditions set by the Government.’
‘While the 2004 Finance Act provisions are a start, and a welcome development in an area that has seen little Government attention in the past, if we are serious about developing an indigenous bio fuels industry, and providing a real alternative to oil, exemption levels should not be capped.’
‘Bio-fuels must be exempt from excise duty to make them commercially viable and allow them to compete at the forecourt.’
‘Not only will the development of this sector mean cheaper fuel prices for motorists and businesses in the long-term, it will also aid Ireland in its attempts to meet its obligations under the Kyoto agreement.’
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