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Departmental Data

Dáil Éireann Debate, Thursday - 12 June 2025

Thursday, 12 June 2025

Ceisteanna (214)

Pa Daly

Ceist:

214. Deputy Pa Daly asked the Minister for Climate, Energy and the Environment the funding allocated to district heating in each of the years 2020 to 2025, by year, in tabular form. [31687/25]

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Freagraí scríofa

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 to contribute to diversification of fuel supply for the heat sector and to decarbonise it. The establishment of the District Heating Steering Group was a critical step on our journey towards developing district heating in Ireland. The District Heating Steering Group Report, which was approved by Government in July 2023, contains a range of recommendations setting the future policy direction for development of the sector including with respect to providing financial support for district heating infrastructure.

The Government has financially supported the development of district heating networks in Ireland through the Climate Action Fund (CAF). There is a large-scale scheme operational in Tallaght, which was developed by South Dublin County Council, and supported through €4.48 million funding from the CAF. In addition, Dublin City Council is working to develop a large project that will use waste heat from the Dublin Waste to Energy facility in Poolbeg to heat public sector, commercial and residential buildings in the adjacent area. Initially, Dublin City Council were allocated €20 million from the CAF to support this project. In 2023, this CAF allocation was increased from €20 million to €50 million (pending business case approval).

Since 2024, Local Authorities can now avail of Pathfinder funding for feasibility studies for district heating projects. In 2024, five projects (approximately €500,000) were assisted in this way. The plan is to assist further projects in 2025, with approximately €1 million available.

Funding allocated to district heating in tabular form:

Year

2020

2021

2022

2023

2024

2025

Funding

Up to €4.48m

N/A

N/A

Up to €50m

Up to €0.5m

Up to €1m

In line with the District Heating Steering Group Report recommendation to provide financial support for district heating, I am seeking a multi-annual financial allocation for efficient district heating projects over the period 2026 to 2030. Investing now in the early phase infrastructure will deliver key backbone elements for district heating networks that will decarbonise heat for larger anchor customers within this decade, and can be further leveraged, through future investment, to target smaller heat loads in the medium-to-longer term.

As part of this process, and in line with the Infrastructure Guidelines, my Department, in partnership with the Sustainable Energy Authority of Ireland's (SEAI) District Heating Centre of Excellence, are preparing a business case seeking to establish future State funding (2026-2030) to support efficient district heating projects in suitable locations, usually urban areas with high heat density.

The Support Scheme for Renewable Heat (SSRH), administered by the SEAI, has been identified as a potential delivery vehicle for financial supports to district heating projects. Funding for district heating projects is available through the SSRH, which was developed to financially support and stimulate the adoption of renewable heating systems. My Department and the SEAI have developed proposals for the SSRH to expand operational aid supports to larger heat users, in order to better support funding for district heating projects.

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