School transport providers have warned of the potential for a reduction in the availability of passengers services over the coming months because of a significant rise in fuel costs.
Nearly two thirds of respondents to a survey of members carried out by the Coach Tourism and Transport Council of Ireland (CTTC) said they have seen fuel costs jump 50% over the past 12 months.
95% of providers said they could not guarantee service provision up to June, because of the fuel crisis, unless they get support or subvention from the Government.
"To expect the industry to provide the same scheduling for the same pricing against the backdrop of 50-60% increases in fuel is frankly unrealistic, unsustainable and totally unaffordable," said Chairperson of the CTTC, John Halpenny.
90% of CTTC members said they would need an increase of up to a third in contract rates in order to be able to continue providing services.
Last week the Government announced an €18m scheme to assist hauliers with the rising cost of diesel.
It will see each registered truck receive €100 a week for eight weeks to help ease the burden.
However, the CTTC is now calling for VAT on fuel to be reduced to 9% on a temporary basis.
"Providing a temporary VAT reduction, akin to what was introduced for the hospitality industry, would represent a crucial lifeline to many operators in the school transport space," said John Halpenny.
Other sectors are also seeking assistance with fuel costs.
The Association of Farm & Forestry Contractors in Ireland (FCI) said it had written to the Ministers for Finance, Public Expenditure & Reform, Agriculture and Transport requesting that i200 million litres of Green Diesel be urgently ring fenced for the farm and forestry contractor sector between the end of April and the end of September.
The Association also wants the immediate removal of Carbon Tax from marked gas oil used by its members for a period of five years.
"The past two weeks have exacerbated the Associations viability concerns for FCI members in their abilities to provide their services to Irish farming due to a combination of the huge fuel cost increase and reduced fuel supply issues", said FCI Chair John Hughes.
"The cost of Marked Gas Oil, commonly known as Green Diesel, has doubled since January 2022."
"This MGO is used in the machines that our members operate to provide services to thousands of farmers in every townland throughout Ireland."
The organisation claimed FCI members were "grossly insulted" by the recent Government announcement of a 2c per litre Excise Duty reduction.
Irish Plant Contractors Association members have threatened to cease work on building sites around the country unless they get help.
