Ivana Bacik
Question:289. Deputy Ivana Bacik asked the Minister for Climate, Energy and the Environment for an update on the EU Renewable Energy Financing Mechanism. [35339/26]
View answerTuesday, 12 May 2026
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Accelerating the deployment of renewables across the EU is key to unlocking progress on energy security, affordability, competitiveness and decarbonisation. EU Member States, including Ireland, have committed to an ambitious set of targets for renewable energy up to 2030 to drive this transition.
There are a range of tools available at EU level to support the collective achievement of the EU’s targets for renewable energy. In 2020, the European Commission launched the EU Renewable Energy Financing Mechanism.
The mechanism is designed to support the cost-effective deployment of renewable energy in the EU by matching countries with high renewable energy potential (“host countries”) with those countries where the deployment of renewables is more constrained or slower (“contributing countries”). Once countries have been matched by the European Commission, funding is allocated to renewable energy projects in host countries following a competitive tendering process for grants. Contributing countries receive a statistical allocation of the resulting renewable energy generation.
To date, Luxembourg has participated as a contributing country, with Finland, Estonia and Bulgaria agreeing to host projects.
The European Commission recently launched a further call for expressions of interest from Member States to participate in the 2026 round of the mechanism, which is open until 15 May 2026. Initial expressions of interest are non-binding.
In addition to domestic policies and measures to support renewable energy, which remain the priority, Government is considering a range of additional options to support progress towards Ireland’s renewable energy targets. In this context, Government has approved the submission by Ireland of a non-binding expression of interest to participate in the 2026 round of the mechanism.
While no binding commitment to participate is being made at this stage, it is considered that participation could be a potentially cost-effective approach for supporting progress towards Ireland’s targets, while directly supporting wider decarbonisation efforts across the EU. It would also demonstrate Ireland’s proactive commitment to our EU legal obligations for renewable energy. Further analysis will be undertaken before any decision is taken by Government on entering a binding commitment.