Portugal Colonial - Irish government announces tax cuts after fuel cost protests

Since Tuesday, hauliers and agricultural contractors have launched a series of protests over spiralling petrol and diesel prices in the wake of the Middle East war.

"As a Government, we hear you," Finance Minister Simon Harris said at a news conference. "We have acted and we are taking further action today," he added.

The cuts announced include a 10-cent reduction per litre on both diesel and petrol -- and a planned increase on carbon tax will be postponed from May until the Budget in October.

Last week's protests grew from slow-moving convoys on motorways and restricted access to Dublin's busiest streets, to a part blockade of Ireland's only oil refinery and restricted access to at least two other fuel depots.

Some protests were still going for sixth day Sunday.

Earlier, the government had urged the public not to panic-buy as pumps at many fuel stations ran dry.

Police on Saturday with the support of the armed forces deployed public order units to clear the blockade at Whitegate Refinery in southern Ireland.

Irish police chief Justin Kelly said the action was taken as a last resort.

He condemned the refinery blockade as "illegal activity" by people determined to "hold the country to ransom".

The blockading of "critical national infrastructure" had "resulted in fuel shortages that are directly impacting on emergency services such as hospitals, the ambulance service, and the fire service", he said.

Elsewhere, police dismantled a makeshift barrier erected by protesters blockading western Galway docks.

A late-night operation also targeted the blockade of the capital Dublin's main thoroughfare O'Connell Street after multiple vehicles including tractors and lorries were removed.

Justice Minister Jim O'Callaghan warned earlier that the continued protests were "unacceptable".

"While we all acknowledge the impact of higher fuel prices, and seek to minimise that impact, no groups are entitled in our republic to hold our people to ransom in such a manner," he said.

In March, Dublin announced a 250 million-euro package to reduce fuel costs, notably including a diesel rebate for road haulier.

M.Gameiro--PC