'Worst case scenario is the hauliers going out of business' - Leitrim hauliers comment

Leitrim man Gearoid Gilheany, transport manager for a large fleet of haulage trucks has spoken out after Government leaders have agreed on a 20 cent cut in excise duty on diesel and a 15 cent cut on petrol until the end of May.

Tánaiste Simon Harris has also recommended a diesel rebate scheme for hauliers and bus operators, which will be backdated and the overall package which will also include targeted energy supports for pensioners, carers and people with disabilities is set to cost €235m.

Also, the National Oil Reserves Agency (NORA) levy will be set aside for two months and the levy is charged at two cent per litre on motoring fuel and home heating oil and there will also be an excise reduction for agricultural or green diesel.

Speaking to the Leitrim Observer, Mr Gilheany said: "Some people have a fuel escalator in place but some don't and haulage companies are having difficulty getting that from their some customers so in that case, it will be a big help to them."

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He continued: "The haulage industry is to keep in touch with the Minister for Transport as to see what more could be done. A lot of it is outside their control, unfortunately. It's definitely a start and pressure needs to be kept on them to have another look at it again shortly, and see if anymore can be done. I did see that it will cost something it cost something in the region of €250m a month to pay for this; it's quite a significant cost but at the same time the country can't afford to have higher inflation or the worst case scenario which could happen, is the hauliers going out of business."

He said that, ultimately the measures are to be welcomed and "hopefully they can keep in contact with the hauliers and do as much as they can for them in the short-term. Because that fuel rebate is something that we have to pay and get back, as Gerry McMorrow said, it's down to cashflow and if you have to pay something and not get it back for six to nine months that can put pressure on any business. The immediate reduction is very much welcomed and the rebate is also welcomed although it won't have that immediate effect as the reduction in the duties."

He concluded: "We look forward to further discusion between the haulage industry and the government.