One of the country’s main construction unions has warned that “sites will be shut down” from next week due to soaring fuel costs.
rish’s Factory Contractors Association (IPCA) members employ more than 40,000 truck drivers and excavators and machinery operators.
The union says its members are responsible for the movement on every construction site in the country, employing more than 140,000 construction workers in total.
The IPCA said its members would stop “all work next week” as fuel prices recently tripled without adequate relief from the Government.
It has been suggested that cuts in the prices of gasoline, diesel and green diesel are not going far enough, and members can no longer afford to fill the machines.
“A contractor with 400 excavators saw his fuel costs increase from €300,000 per month to over €500,000 per month due to increased diesel costs in just one week,” the IPCA said in a statement. Father.
“A discount of 2c/liter (for green diesel) for these businesses is not feasible and will result in the closure of construction sites from next week.”
The IPCA has argued that contractors are “bound” to agreements with developers and bear the brunt of the increased costs because of the agreed-upon price of work.
This is happening across the board, and businesses are operating at a loss, said CEO Brian Coogan.
“We are asking the Government to try and put some restrictions on the suppliers that are selling fuel around the country. Green diesel at 1.83 €. In January, it was 0.62 cents,” he added.
Mr Coogan said his union would make a “coordinated effort” to engage with government officials later this week to avoid the strike.
Meanwhile, soaring fuel costs are putting school bus services at risk, bus operators warn.
The transportation industry is generally concerned about the impact of price increases on the sector, but school buses are considered vulnerable.
School transportation operates on tight margins, and companies are tied to contracts that don’t allow for incremental cost recovery.
Private coaches account for 90pc of school bus journeys.
The Coach Travel and Transport Council of Ireland (CTTC) has raised fuel costs with Bus Éireann and government agencies, saying the measures taken this week are not in line with what is needed to tackle the problem. determine inflation.
Executive member Feargal Barton said the additional burden could put some companies out of business.
Mr. Barton said that each school transport operator has an individual contract, which usually lasts for five years, but there is no need to renegotiate the contract in the short term.
“They can stay in place, but we are looking for a special intervention, like they did with Covid, when a sum is allocated for cleaning and PPE equipment.”
Bus operators need more revenue to cover higher fuel costs, not to make a profit.
“If nothing happens between now and June, you could see a large number of operators redeploying their contracts,” added Mr Barton.
The Department of Education said it was reviewing, in consultation with the the possible impact of increased fuel costs on school transportation provision.
A spokesman for Bus Éireann said it was aware of concerns regarding the sharp increase in fuel prices..
Transport Minister Eamon Ryan said that when the Government made the decision to cut the excise tax, it knew it would “not cover the full cost”.
He described the market as “extremely volatile”.
https://www.independent.ie/irish-news/education/soaring-fuel-prices-building-sites-face-strike-shutdown-while-concerns-raised-about-school-transport-41434102.html Fuel prices soar: Construction sites face ‘strike’ closures, while concerns over school transport