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Government Announces Temporary Measures to Ease Energy Costs

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26 March 2026

This week, Government announced a package of temporary measures aimed at easing energy and fuel costs for households and businesses in response to rising global volatility arising from the ongoing conflict in the Middle East. The intervention includes reductions in Mineral Oil Tax (MOT), a temporary cut to the NORA levy, and enhanced support for haulage and passenger transport operators.

From midnight on 25th March until 31st May 2026, MOT rates will fall by 15c per litre for petrol, 20c for auto diesel, and 3c for marked gas oil, while the NORA levy will be reduced to a nominal amount for two months. The Diesel Rebate Scheme will also be expanded, an increase that Government says will support transport-intensive sectors. For households, the fuel allowance season will be extended by four weeks, providing €152 in additional support to 470,000 eligible recipients.

Government has framed these actions as targeted, time‑bound relief intended to shield households and businesses during a period of heightened uncertainty, while reiterating the longer‑term need to accelerate Ireland’s transition away from fossil fuel dependency.

While these measures will offer welcome short‑term relief, Dublin Chamber’s Q4 2025 Business Outlook Survey shows that energy costs remain a major driver of rising business expenses, identified by 24% of firms. Members continue to face sustained pressures across energy, along with labour, property, insurance, and regulatory compliance, and are prioritising cost management as they plan for the year ahead.

Dublin Chamber welcomes the Government’s immediate interventions but continues to call for a clearer pathway to energy price stability, particularly for SMEs, alongside the accelerated delivery of grid upgrades and renewable generation. As global uncertainty persists, strengthening Ireland’s energy resilience will be essential to safeguarding competitiveness and providing businesses with the certainty they need to plan ahead.

For more on Government’s new cost measures, see here.

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