Hauliers welcomes decision to halt planned fuel excise increase

The Irish Road Haulage Association has welcomed the announcement that the government will not proceed with the planned increase in fuel excise duty on September 1st.

“The decision is a significant and welcome response to the sharp rise in diesel prices and the mounting cost pressures facing road haulage operators and businesses across the economy,” they said.

The IRHA said they have been “pressing the government” in recent weeks to “recognise that increasing diesel taxation while pump prices were already rising sharply was neither sustainable nor economically credible. In its representations to Government, the Association called specifically for the planned 10 cent per litre increase to be cancelled or postponed and for the existing excise reductions to be maintained while fuel prices remained elevated.

According to IRHA President, Ger Hyland, today’s decision shows that the government has “listened to those concerns.”

“We welcome the government’s decision. This is the right outcome for haulage operators, businesses and consumers, and we are pleased that the government has recognised the exceptional circumstances facing the sector,” Hyland said.

“The message from the haulage industry was clear: you cannot add another 10 cent per litre in taxation at a time when diesel prices have already increased so sharply.

“The IRHA has consistently made that case to government, and we welcome the fact that our concerns have been heard and acted upon.”

Hyland said, “the decision will provide much-needed certainty to operators who are already dealing with significant increases in fuel, insurance, labour, vehicle and regulatory costs.”

The IRHA said the decision should also “mark the beginning of a wider discussion on how fuel taxation responds to exceptional movements in international oil and wholesale fuel prices.”

Road haulage is the distribution network underpinning the Irish economy. Keeping transport costs under control is essential to protecting businesses, consumers and competitiveness.

Hyland said, “we now want to work constructively with the government on a sustainable approach to commercial fuel taxation for the remainder of 2026 and beyond.”

The IRHA said it was “particularly pleased” that the government had acted before the scheduled September 1st increase took effect, avoiding a further immediate cost shock for operators and the wider economy.