Background information

In April 2026 the Government introduced a targeted fuel support package as a follow-up to previous energy cost measures in response to continuing increases in international oil prices and concerns about the impact on key sectors of the Irish economy. As some measures involved financial assistance to specific economic sectors, they were required to comply with European Union State aid rules, ensuring that supports were proportionate, temporary and compatible with the EU internal market. The Government indicated that the design of the schemes took account of these regulatory requirements before implementation. In the weeks preceding the announcement a series of protests, demonstrations and vehicle blockades took place across the country. The protests were led primarily by members of the road haulage, farming and fishing sectors, who argued that rapidly rising fuel prices were threatening the viability of their businesses.

Content of measure

The April 2026 package was valued at approximately €505 million. The package contained three principal elements: 1. Further reductions in fuel excise duties The Government announced a further 10 cent per litre reduction in excise duty on diesel and a further 10 cent per litre reduction on petrol (VAT inclusive). This brought the total temporary reduction to 32 cent per litre on diesel and 27 cent per litre on petrol when combined with the March measures. A further 2.4 cent per litre reduction on marked gas oil (green diesel) was also introduced. 2. Road Transporters Support Scheme (RTSS) – €120 million A new €120 million Road Transporters Support Scheme was established for licensed road haulage and passenger transport operators. The scheme covered approximately 50,000 eligible commercial vehicles, including around 25,700 licensed haulage vehicles, 12,400 other haulage vehicles, and 11,900 passenger transport vehicles. Support payments were graduated, with smaller operators receiving higher levels of assistance. Payments ranged from approximately €1,350 per vehicle for smaller operators to €300 per vehicle for larger operators. The scheme was linked to diesel prices exceeding €1.90 per litre and was designed to offset exceptional fuel costs. 3. Fuel Support Subsidy Scheme – €100 million A €100 million Fuel Support Subsidy Scheme was introduced for farmers, agricultural contractors and fishers, and was later extended to include parts of the construction and quarrying sectors. The scheme was available to approximately 120,000 farmers and 1,500 agricultural contractors, with payments based on historical fuel consumption. The support equated to approximately 20 cent per litre of green diesel, or €200 per 1,000 litres. When combined with the earlier tax reductions, the overall benefit amounted to approximately €274 per 1,000 litres of green diesel. Payments were backdated to March 2026 and covered the period through July 2026.

Use of measure

No information

Target groups

Workers	Businesses	Citizens
Does not apply to workers	Sector specific set of companies	Does not apply to citizens

Actors and funding

Actors	Funding
National government	National funds

Social partners

Social partners' role in designing the measure and form of involvement:

	Trade unions	Employers' organisations
Role	No involvement	Consulted
Form	Not applicable	Direct consultation outside a formal body

Social partners' role in the implementation, monitoring and assessment phase:

• No involvement
• Main level of involvement: Peak or cross-sectoral level

Involvement

There was engagement between Government and a range of sectoral representative bodies, including representative organisations from the road haulage sector, the Irish Farmers' Association and the fishing industry.

Views and reactions

Sectoral representative organisations were broadly supportive of the package. Haulage, farming and fishing bodies argued that the measures were necessary to address exceptional fuel cost increases that threatened the viability of businesses and livelihoods. The Irish Farmers’ Association (IFA) welcomed the fuel support measures, particularly the support for users of green diesel, but maintained that rising input costs continued to place significant pressure on farm incomes. The Irish Congress of Trade Unions (ICTU) questioned the effectiveness of broad fuel subsidies as a means of supporting workers and households. Trade unions argued that targeted measures for low-income households, stronger wage growth and enhanced social protection would provide a more equitable response to cost-of-living pressures than measures primarily benefiting fuel users and businesses. Social policy and anti-poverty organisations, including groups such as Social Justice Ireland, also raised concerns regarding the distributional impacts of the package.

Sectors and occupations

Sources

• 12 April 2026: Government announces new package of fuel supports (www.gov.ie)
• 12 April 2026: Opening Remarks of Taoiseach Micheál Martin Press Conference Government Buildings Sunday 12th April 2026 (www.gov.ie)
• 30 April 2026: Fuel support payments by end of June, Govt again rules out mini budget (www.rte.ie)
• 12 June 2026: The distributional impact of energy price increases in Ireland and the policy response (www.esri.ie)