The Programme for Government 2020 committed to allocating revenues raised from the increase in carbon tax rates out to 2030 to a number of measures, including to part fund a socially progressive national retrofitting programme.
The Programme for Government 2025 – Securing Ireland’s Future commits to using the carbon tax as a key tool to encourage a shift away from fossil fuels and to invest in a sustainable future. Specifically, it contains commitments to continue to use carbon tax revenues to fund retrofitting.
The total carbon tax funding allocated to my Department for this programme for the period 2020 to 2025 was €1.442 billion. For 2026, a further €558 million in carbon tax funding has been allocated.
Over the period 2020 to end Q1 2026, a total of 238,500 homes have been retrofitted, including 32,400 fully-funded upgrades for households at risk of energy poverty under the Warmer Homes scheme. In total, including funding spent on upgrading Approved Housing Body owned properties, the share of funding spent on lower-income households is more than 50% of the total allocation.
The upgrades have been carried out under a number of the Sustainable Energy Authority of Ireland's residential and community retrofit schemes. The cost per grant/upgrade, therefore, differs depending on which scheme the upgrade was carried out under. As an example, in Q1 2026 the average cost per home upgraded under the Warmer Homes Scheme was just over €31,000.