Dáil Éireann Debate, Wednesday - 17 December 2025
76. Deputy Pa Daly asked the Minister for Climate, Energy and the Environment to provide an update on the expansion of district heating; if additional funding will be provided on top of the €5 million as part of the climate action fund; to provide a breakdown of any projects in the pipeline; and if he will make a statement on the matter. [72952/25]
View answer77. Deputy Pa Daly asked the Minister for Climate, Energy and the Environment when he expects the business case for future state funding for district heating to be completed; to outline a timeline for a decision on this; and if he will make a statement on the matter. [72953/25]
View answerI propose to take Questions Nos. 76 and 77 together.
District heating can play a key role in improving energy efficiency and reducing greenhouse gas emissions. Government policy is supportive of the expansion of district heating and has financially supported the development of district heating networks in Ireland through the Climate Action Fund (CAF).
The district heating project in Tallaght, which was developed by South Dublin County Council, was supported through the CAF. Dublin City Council have also been allocated funding from the CAF, pending the approval of a business case, to support the development of the Dublin District Heating Project.
In addition, the CAF has allocated €5 million to support pre-construction development costs for efficient district heating projects in Ireland. This fund has been launched as a pilot to bridge the gap for district heating projects until significant capital funding is in place. The expressions of interest for this fund closed on 12 December 2025, with a number of submissions received. My Department is aware of a strong district heating pipeline, including potential projects both within and outside Dublin.
Under the National Development Plan, for the period 2026 to 2030, up to €100 million has been allocated to support the development of district heating networks. My Department, in partnership with the Sustainable Energy Authority of Ireland's (SEAI) District Heating Centre of Excellence, are finalising the business case for State funding to support efficient district heating projects in suitable locations. Following this, work will commence on operationalising the fund for late 2026.
Finally, the SEAI through Pathfinder have enabled funding support for Local Authorities conducting feasibility studies for district heating projects. This level of funding demonstrates the Government’s ongoing commitment to district heating as a core component of Ireland’s decarbonisation strategy.
