Fuel protests must not derail Ireland’s climate plan. Neither should data centres |
The blockades may be starting to lift, but the latest climbdown by the Government represents a setback for climate policy that will further weaken Ireland’s resilience to global price shocks.
The pros and cons of the carbon tax could be endlessly debated. But set against the backdrop of war in the Middle East and Ireland’s near total reliance on imported fossil fuels for transport and heating fuels, delaying an increase to the carbon tax is beside the point. With or without taxes, fuel costs are revenues that leave the country and enrich petrostates, oligarchs and war criminals. While subsidies can relieve pressure in the short term, sustained high levels of fossil fuel subsidies inhibit renewable energy development and imperil government finances. In the long run, they do more damage than good.
Ireland imports 100 per cent of our liquid fuels and about 80 per cent of natural gas. At nearly 80 per cent in 2024, Ireland’s import dependency is among the highest in Europe, and represents a strategic vulnerability that poses wider risks to national security, according to the International Energy Agency. Effectively, we are at the mercy of global energy prices over which we have virtually no control. You could have protests and blockades every other week, but if global energy prices continue to soar past $100 a barrel, it will be impossible to shield the Irish economy and everyone reliant on fossil fuels from the effects of higher........