EU Directives
Dail Éireann — 2026-04-21
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Simon Harris (FG), Wicklow

We have not formally made a request in relation to zero percent VAT. The reason we have not is that my genuine feedback from engagement with the European Commission is that it is unlikely to have unanimous support. I am not against formally seeking further discretion on VAT but we have tried to target our asks to areas that we hoped we could make progress on, including seeking a temporary derogation from the minimum rate of taxation applied to auto diesel because the Deputy has been asking me to go further on diesel. I do not mean just because of the Deputy but many people, including him, have been asking me to do that. We have gone beyond what the energy tax directive allows us to do. We sought a derogation in relation to that. The reason we have not formally asked is that it is not possible to seek as a member state just a derogation from the functioning of the VAT directive. We would have to have unanimity in relation to that. The feedback we have been getting from the Commission is that is unlikely to be the case. However, I am happy to further pursue that with the Commission in terms of seeing if there will be such unanimity but I do not want to create a false expectation. It is my genuine view that it is unlikely to be something forthcoming from Europe.
In relation to energy credits, I said yesterday and today that I do not think anything can be off the table. It would be foolish for us to rule in or out anything. The Deputy has heard me say this before but it is my genuine view that an energy crisis in the winter is very different from an energy crisis coming into the summer months. Therefore, we need to keep these things under review as we approach the autumn and winter in terms of budgetary plans and what is the best thing to do to assist people should the energy crisis persist.
We also have to have other options and, indeed, I have heard interesting suggestions here about how we can help people with their own measures in terms of their own homes, whether that is retrofitting or solar panels and whether there is more we can do in that space to make that easier and more generous. I would be interested in engaging on that. I will keep an open mind on further energy interventions in the time ahead.

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Record URI: https://data.oireachtas.ie/akn/ie/debateRecord/dail/2026-04-21/debate/main
Retrieved: 2026-09-21T01:01:08+00:00
Sitting date: 2026-04-21