As set out in the Programme for Government, this Government is committed to delivering on Ireland’s responsibility to address the climate crisis. Ireland now has the lowest level of GHG emissions in 35 years, despite the concurrent unprecedented demographic and economic growth including an increase of approximately 1.5 million people, more than one million new homes and over one million extra vehicles on our roads.
We are making significant strides toward our target of 80% renewable energy by 2030 and we are now prioritising the development of offshore wind capacity. This Government has approved an unprecedented investment of €18.9 billion in Grid for the period 2026 – 2030 which is fundamental to the electrification of homes, businesses and transport. The 2025 ZEVI target for electrical vehicle sales of 195,000 was surpassed in October 2025 and I have just announced an unprecedented package of new and enhanced grants for homeowners across the country who are looking to benefit from home energy upgrades under the National Residential Retrofit Plan.
The Environmental Protection Agency’s (EPA’s) most recent emissions reporting (May 2025) confirms that Ireland has recorded overall greenhouse gas (GHG) emission reductions for a third consecutive year, with a decrease of 6.8% in 2023 followed by a further 2% reduction in 2024. The latest EPA quarterly indicator report for Q3 2025 indicates that emissions fell 2.8% in Q3 2025 compared with Q3 2024.
In respect of the EU requirements, Ireland’s target to reduce emissions under the revised Effort Sharing Regulations is 42% compared to 2005 levels by 2030. Under existing compliance arrangements, Member States can meet their targets through direct emissions reductions, as well as through additional compliance options.
The EU framework does not provide for the imposition of direct fines or penalties, or the use of carbon credits or payments to international carbon offset schemes. However, it does allow for the purchasing of surplus allowances from overperforming Member States, which could have significant costs. Estimating these costs is currently not possible due to data limitations as there is currently no established market or set cost for allowances.