The Government has greenlit new laws targeting the illicit importation of smoky fuels within the State. The recent regulations, enacted towards the end of 2022, broadened the prohibition of smoky coal from Dublin and other sizeable city centres to all parts of the country. Nevertheless, these increased measures have resulted in a surge of illegally imported smoky fuel from Northern Ireland.
The industry organisation, Solid Fuel Merchants Ireland, estimates that roughly a third of solid fuels imported into Ireland are smoky fuels. They predict this causing potential tax revenue losses of €15 million annually for the Exchequer. At the Cabinet assembly on Tuesday, Eamon Ryan, the Minister for the Environment, obtained approval for the drafting of the Air Pollution Act (Amendment) Bill.
This upcoming Bill aims to equip local administrative bodies throughout the State with superior authority to combat the continued issue of unlicensed, smoky solid fuels entering the Irish Market illegally. Mr. Ryan suggested in his Cabinet memorandum that authorised retailers are being weakened and undersold by entities that sell unlawful and contaminating commodities, which mostly originate outside the State.
The Bill seeks to enhance the registration procedure for solid fuel suppliers. Additionally, it will introduce an improved reporting structure for illegal fuels, alongside heightened controls regarding fuel importation, even through direct sales, delivery, or distance selling from an alien jurisdiction. The legislation will also empower local authorities to distinguish internet or social media-based illegal fuel product sellers.
Mr. Ryan mentioned in the memorandum that these augmented powers should fortify the regulatory regime that oversees the entire solid fuel market. This is to ensure thorough adherence to the specifications set by the smoky fuel regulations. Those who import fuels, regardless of their geographical base, must register.
The memorandum states these measures are necessary to safeguard compliant fuel vendors who offer low-emission fuels. They are often undersold by companies that disregard regulations, by, namely, importing smoky coal over the border. The document also highlights the public health risk posed by smoky fuels, with air pollution being a contributing factor to approximately 1,300 yearly deaths. Smoky fuels are acknowledged as increasing the risk of stroke, heart disease, lung cancer, and both chronic and acute respiratory illnesses, including asthma.
The reason for the cheaper solid fuels in Northern Ireland stems from the absence of carbon tax, reduced VAT rates and the presence of zero smoky fuel restrictions.