Ireland's EU Commissioner Michael McGrath will raise the issue of the fuel protests at an emergency meeting of the European Commission tomorrow morning.
It is understood Mr McGrath has been liaising with senior Commission officials over the weekend on a letter sent late last week by Taoiseach Micheál Martin and Tánaiste Simon Harris to European Commission president Ursula von der Leyen, seeking flexibility on EU rules in connection with lowering excise duties on fuel.
Mr McGrath told RTÉ News this evening that it was "important that member states including Ireland are given the necessary flexibility at this time to support citizens and critical sectors from the effects of the international energy crisis."
The Government is looking for further flexibility from the European Commission to lower excise rates on agriculture diesel, RTÉ News understands.
Under Article 19 of the Energy Tax Directive (ETD), member states can apply to introduce further exemptions or reductions "for specific policy considerations" going beyond the minimum allowable excise rate under the directive.
The Government has announced there would be a further 10 cent reduction in excise duty on petrol and diesel and a further 2.4 cent reduction on agricultural diesel, also known as marked gas oil or green diesel - effective from midnight on Tuesday and needing Oireachtas approval.
Commissioner McGrath said he had been in touch with "relevant Commission colleagues" over the weekend to ensure there was "a full understanding of the seriousness of the situation in Ireland."
The European Commission will hold an emergency meeting tomorrow morning on the consequences of the conflict in the Middle East.
Mr McGrath said he would update the Commission on the situation in Ireland at the meeting. He told RTE News the Commission was working on a broader set of measures to respond to the energy crisis and this will be completed shortly.
Under the ETD, there is currently a minimum excise duty required of member states for petrol and diesel.
Ireland secured a three cent reduction in the excise rate for agricultural diesel in the first package of measures.
It is understood the Government is looking to further reduce the "non-carbon" element of the excise duty down to zero.
The Government would need permission from Brussels to adopt this reduction, under the directive.
The Government is also seeking permission for further concessions from the European Commission for the agriculture sector, similar to measures for the haulage sector, to ensure that it complies with the Energy Tax Directive.
It is understood the Government is hoping for a swift response to the letter.
However, it is understood there may be a reluctance at senior level within the European Commission to introduce much flexibility in the taxation sphere, compared to during the energy shock triggered by Russia’s invasion of Ukraine in 2022.
One source suggested the Commission is leaning towards being "prudent" since the EU is in a less robust fiscal and economic position compared to the Covid pandemic and the invasion of Ukraine.
