Toll road charge increases
Deputy Doherty opposed planned toll increases during a cost-of-living crisis, especially for rural drivers. The Tánaiste said any increase was unwelcome, acknowledged possible misinformation about past increases, and promised to check the facts and explore options before committing.
Tá sé tagtha chun solais go bhfuil táillí bóithre dola ar fud an Stáit le hardú go dtí an leibhéal is airde. Is buille ollmhór é seo d’oibrithe agus do theaghlaigh, ag am ina bhfuil praghsanna peitril agus díosail chomh hard is atá siad. Buailfidh na táillí seo go mór agus go díreach iad siúd atá ina gcónaí i bpobail tuaithe nach bhfuil mórán rogha acu ach a gcuid carranna a úsáid de bharr ganntanas iompar poiblí. Le linn na paindéime Covid-19, bhí ar na cáiníocóirí seasamh isteach agus na milliúin a íoc leis na comhlachtaí dola seo. Anois de bharr an chonartha luachmhair seo ó ré Fhianna Fáil, beidh ar thiománaithe na tíre níos mó arís á íoc. Níor cheart go rachaidh na méaduithe seo ar aghaidh. Tá cúram ar an Rialtas cinntiú nach dtarlóidh sé seo.
We are in the middle of a cost-of-living crisis and nearly every day brings bad news to individuals. This morning we learned from the Governor of the Central Bank that mortgage interests will again rise next month when the ECB meets, despite the Tánaiste and his party voting against even considering the mortgage interest relief we put forward last night.
This week people also learned that tolls are to increase across the State to their maximum level. This is a massive blow to workers and families, coming at a time of record fuel prices. These road toll increases will hurt commuters and disproportionately impact those living in rural areas, who are forced to use a private car because the options of public transport rarely exist.
The lucrative contracts for toll roads have been a loser for the State year on year. During the Covid-19 pandemic the taxpayer had to step in and pay toll operators millions of taxpayers' euro. These companies are profitable. The M3 toll operator recorded a profit of €11 million in 2021. The M1 toll operator had an operating profit of €8 million in the same year. Due to these gold-plated Fianna Fáil-era contracts, motorists are being asked to fork out even more on higher tolls. It is not lost on people that their wages do not go up in line with inflation but the Government has ensured through these contracts that the profits of toll operators do. These firms are not struggling to get by and these increases are all about protecting private profit.
The Government needs to intervene and bring all the pressure to bear that it can on operators and on Transport Infrastructure Ireland. These increases should not go ahead and it is the Government's job to make sure they do not. So far we have seen no urgency in relation to this. The Tánaiste said the Government would intervene but we have not seen that yet. The Minister for Transport, Deputy Eamon Ryan, was aware of the proposal before it became public and did nothing about it. Yesterday the Tánaiste's party and Government colleague, the Minister of State, Deputy Naughton, admitted at the transport committee that the Department was aware of this as early as September, yet nothing was done.
The Tánaiste cannot say he was blindsided. The question for motorists across the State concerns what will happen now. The priority has to be to support workers and businesses facing the worst cost-of-living crisis in a generation. Will the Tánaiste give a commitment on behalf of the Government that the proposed hikes, which are due to take place at the start of next year, will not go ahead as planned?
Comment on this
I thank the Deputy. I acknowledge that Ireland faces a cost-of-living crisis, as does most of the world, and we are seeing inflation at levels not seen for a generation. That impacts different people and households in different ways. People who drive and commute are affected in a serious way because the price of petrol and diesel is so high at the moment, notwithstanding the reductions in excise duty. For that reason, any increase in tolls is extremely unwelcome.
I represent a commuter constituency, Dublin West. A huge number of people cross that toll bridge every day in both directions and this will probably add something like €100 per year to their cost of living. That is not a small amount of money during a cost-of-living crisis.
I have looked into this matter. The rules around tolls work differently depending on whether the asset, road or bridge is under the control of the Government or not. The M50 is different to Dublin Port, which is different again to the public private partnership roads. As things stand, the maximum toll is linked to inflation and the consumer price index. There has not been an increase in nine years because inflation was very low but now that inflation is very high, that increase kicks in. It is proposed to impose it on motorists from 1 January. The maximum toll being set at a certain level does not mean it has to be applied. You can have a maximum price and not charge it.
Over the next few weeks, we will try to find a way to mitigate the impact of that for motorists. There would be a cost involved of around €25 million or €30 million. It is not a small amount of money but we are working with TII and the Department of Transport to see if we can do something to mitigate or defer that increase, which does not kick in until 1 January. I cannot give a solid, cast-iron commitment today because contracts are involved. The companies the Deputy referred to will want their contracts honoured. They will go to court if they are not, and probably succeed. They will also point out the money does not go into the general Exchequer but is ring-fenced for road maintenance and improvements. The cost of all that has increased as well, including the cost of labour and of materials.
I fully understand this is a most unwelcome increase for motorists and is coming at the worst possible time. We will work with the Department of Transport and TII to see if we can come up with solutions between now and 1 January.
Comment on this
Motorists listening to the Tánaiste will find it incredible, including the people he says he represents in his constituency who use tolls. TII put out a notification last year. Tolls increased this year already across eight roads. That has already happened and the second increase will take effect on 1 January. These tolls are increasing unless there is Government action.
The Tánaiste is suggesting two things. The first is that they have not increased in the last year. That is not true. They did increase this year. Second, the Tánaiste is suggesting that they may not increase in January. They will increase unless there is Government action. The Minister for Transport, Deputy Eamon Ryan, has told us he is not minded to do anything on this. The Tánaiste says the Government was blindsided despite his party colleague who sits at the Cabinet table, the Minister of State, Deputy Naughton, saying they were aware of this since early September. It is only now because of public outrage and the fact we are so deep into a cost-of-living crisis that Government Members are scrambling around like headless chickens, not knowing what to do.
People need to know, because there are only a few weeks left of sittings here. What will happen between now and the end of the year? Will the Government intervene? Can the Tánaiste give any assurances that these tolls will not go ahead?
Comment on this
The briefing I was given was that there had not been an increase in the maximum toll for nine years. That may well be incorrect-----
Comment on this
-----and I will get that double-checked today.
In terms of information, I was not informed, nor were the Taoiseach or the Cabinet, but I accept the doctrine of collective responsibility and if Ministers were aware, then the Government was collectively aware. The question now is what we can do about it. I would like to be able to give a cast-iron commitment today but it would not be responsible to do so until we have explored the options. I think what the Minister, Deputy Ryan, said was that he would not like to see the roads budget being reduced as a consequence, or for money to be taken out of public transport. I understand where he is coming from. We will have to see if we can find another way to mitigate or defer these increases. They do not kick in until January. We have a bit of time and are working on it.