Targeted package of measures to support people to move away from fossil fuels for energy, heat and transport is required

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Fossil Fuel

A targeted package of measures to support people to move away from fossil fuels for energy, heat and transport must be part of Government’s strategy to support households with energy affordability.  Long-term planning on the type of energy infrastructure required and how we manage the transition to a society powered by renewables in the future is critical, as is an accurate assessment of the type of investment required both to create the infrastructure and to maintain it.  

Energy efficient homes

Increased heat pump usage and retrofit output are essential to achieve energy efficient homes and housing stock powered by renewables.  More than 50,000 homes will have to be retrofitted every year to meet current targets. Investment in renewable energy and retrofitting at scale is required. 

  • Redesign grant schemes to make them more accessible to low income households.  Upfront costs associated with accessing sustainable energy grants remain a barrier for low income households.  These are households who are most likely to use solid fuels such as coal and peat. With an estimated 115,055 homes having the lowest BER ratings of F or G, it is imperative that Government support these households by redesigning these schemes to make them more accessible.
  • Integrate a Building Renovation Passport Scheme into the National Retrofit Plan.  This plan should be fully aligned with existing retrofitting finance and regulatory measures. This would facilitate a step-by-step approach to retrofitting which could be more financially appealing and manageable for many households.
  • As the number of renters increases in Ireland, the government must ensure that non-home owners are not left out of cost-saving retrofitting schemes. Policy must consider how to motivate landlords who will not directly benefit from energy cost savings in retrofitting schemes. This would increase energy efficiency, reduce bills, improve health outcomes, and assist us in meeting our climate-related targets. 

Electric Vehicles

Significant investment is needed to develop a public transport network powered by electricity and renewable energy.  Support is also required to incentivise individuals to move away from transport powered by fossil fuel.  The geographical spread of EV ownership across Ireland is concerning, with low uptake in more rural and remote regions.  To encourage electric car usage the national charging infrastructure will require a substantial upgrade and additional incentives targeted at specific households will be required.

  • Establish a fund to provide grants for electric vehicles targeted at rural dwellers only.  Household income should be one of the determinants of grant level, with grants of between €3,500 up to €10,000 depending on household income.  In addition, each recipient should also qualify for a €600 EV home charger grant.  Supports should be targeted towards those areas where emissions reductions from EV use will have the greatest impact, and to those who do not have readily accessible public transport options available. 

Fossil fuel subsidies

Taxation policy must be aligned with our national climate targets.  In 2024, Government spent €2.3 billion on environmental subsidies related to energy and emissions, while fossil fuel subsidies were double that, at €4.7 billion. By ending environmentally damaging tax breaks and investing this money in renewables and renewable energy infrastructure, Government can support the people, communities and regions that will be most affected by climate adaptation. 

  • Commit to reviewing all fossil fuel subsidies in 2026 and set out a roadmap to remove fossil fuel subsidies by 2030. Removing these subsidies would provide Government with the resources to alleviate adverse climate change impacts.

Investment in energy infrastructure

Investment in our renewable energy generation and storage capacity is key to successfully reducing our reliance on fossil fuels.  It is also critical to support electrification of our home heating and transport sectors in the longer term.  This requires a substantial investment in the upgrade of the existing national grid, build new grid capacity and interconnectors to accommodate more renewable energy generation, and increased storage capacity.   

An upgraded grid with expanded capacity would also increase renewable output, reduce use on fossil fuels and offer Government the opportunity to ensure savings through renewables that can be delivered to homes and businesses across the island. 

  • Allocate €1 billion from windfall revenue gains for investment in offshore wind energy to accelerate existing targets, upgrade of the national grid, build new grid capacity and interconnectors to accommodate more renewable energy generation, and increase storage capacity. 

These proposals offer practical and immediate steps that Government can take to support households during the current energy shock, and enhance and improve our energy infrastructure to facilitate the move to renewable energy in a manner that is sustainable and leaves no one behind.   

Ireland faces some critical decisions on investment in the next five years. The significant investments and policy change required to meet our national and international climate commitments will need to be frontloaded in the next two years to support emissions reductions later in the decade. In doing so, we must support households to make these transitions and build resilience across our communities. Embedding the common good as a guiding principle in public policy would help to ensure that we make the right investments in the right policies now.

Social Justice Matters: 2026 guide to a fairer Irish society is available to download here.