17 June 2013

AA seeks reduction in Government tax on fuels

While there was a slight fall in fuel prices last month, the AA is calling on the Government to reduce the level of taxation on fuels which is continung to be a huge burden on individual motorists and on business.

They say it is in effect an anti-stimulus measure as it pushes up business costs and takes disposable income out of people's pockets.

Petrol now costs an average of 157.4 cent per litre, down 0.7 cent since May. Diesel prices also fell by less than a cent with the national average price now 148.0.

Because of high taxes imposed by the last, and present, government since 2008, we are now paying about 58 percent of the pump price for petrol in taxes, and 51 percent of the diesel price.

The AA say the Euro has weakened a little against the dollar which counts against us and goes some way towards off-setting falls in European prices for refined petrol and diesel.

AA Fuel Usage figures show if a car does 12,000 miles per year (19,200 kms) at a fuel consumption rate of 30 miles per gallon (9.42 litres per 100 kms), that car will use 150 litres of fuel per month. At current prices, that motorist will pay €236.10 a month for petrol of which €134.58 is tax. The figure for May was €237.15.