Dáil Éireann Debate, Thursday - 18 December 2025
300. Deputy Pa Daly asked the Minister for Climate, Energy and the Environment to provide an update on the progress on district heating; the funding available; the funding that has been drawn down; and if he will make a statement on the matter. [73796/25]
View answerGovernment policy is supportive of the expansion of district heating and recognises the contribution it can make to Ireland’s energy and climate goals. The District Heating Steering Group Report, which contains a suite of recommendations for the development of district heating in Ireland was approved by Government in 2023. A District Heating Working Group has been convened to oversee implementation of the Steering Group recommendations.
To date, there is a single district heating project operational in Tallaght which was developed by South Dublin County Council. The project was supported through the Climate Action Fund (CAF). Phase 2 of this project is now being planned and evaluated by South Dublin County Council. In addition, Dublin City Council is leading the development of the Dublin District Heating Project.
The Sustainable Energy Authority of Ireland (SEAI), through Pathfinder, have enabled funding support for Local Authorities conducting feasibility studies for district heating projects. The Government also approved the allocation of €5 million from the CAF to support pre-construction development costs for efficient district heating projects in Ireland. The expression of interest for this fund launched in November 2025. Support for the pre-construction costs is being used to bridge the gap for district heating projects until significant capital funding is in place.
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. This level of funding demonstrates the Government’s ongoing commitment to district heating as a core component of Ireland’s decarbonisation strategy.
In addition, the SEAI are leading on work to feed into the overall Long-term Strategy for District Heating. This includes development of a National Level Assessment and a comprehensive advisory project, being conducted in partnership with the European Investment Bank's InvestEU Advisory Hub. In tandem, my Department is working on the Heat (Networks and Miscellaneous Provisions) Bill to introduce a regulatory framework for district heating.
