Ireland allocates €1.28bn to energy and climate transition in 2027 Budget – Sustainability Online

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Ireland has allocated €1.28 billion to energy, climate action and environmental measures in its 2027 Budget announcement.
Some €950 million of this will be allocated to the delivery of a ‘secure, sustainable and affordable energy sector’, the government said in a statement, with more than €650 million designated to home and community energy upgrades, including increased support for solar photovoltaic systems, home batteries and a fossil fuel boiler scrappage scheme.
“Energy affordability is a priority for me, and for this government,” commented Darragh O’Brien, Ireland’s Minister for Climate, Energy and Environment.
“Last week I welcomed Energy Ministers and delegates from across the EU and beyond to Dublin Castle – to discuss the international energy crisis. It is clear that this crisis has taken a significant toll across all EU Member States. My government colleagues and I have met the challenges before us.”
New measures, which take effect from 6 October, include solar PV and battery storage being offered as standard under the Warmer Homes Scheme, increased grants for solar and insulation for lower-income recipients, more favourable eligibility rules for solar PV and solar thermal, a fossil fuel boiler scrappage scheme, and a new home battery energy storage grant.
“More than one in every ten homes in Ireland have already benefited from SEAI-supported home energy upgrades,” Minister O’Brien added. “Budget 2027 allows us to accelerate that progress even further – reaching more households, delivering more improvements, and doing so faster.”
Depending on the measures installed and the characteristics of a particular property, Irish households could save up to €878 per year – on top of existing supports for energy upgrades, including insulation, window and door replacements and heat pumps, which can save homeowners up to €1,200 per year, the government added.
In addition, businesses will also receive enhanced support for energy upgrades, with expanded solar PV supports enabling businesses to reduce annual energy costs by up to €300,000, with further savings possible through solar thermal and heat pump grants.
A further €170 million has been allocated to climate action, including €25 million for EU Just Transition programmes, while local authorities will receive more than €22 million for climate measures.
Elsewhere, €150 million has been earmarked to develop the circular economy, including €47 million to tackle waste contamination sites.
“Budget 2027 provides the resources needed to accelerate Ireland’s transition to a circular economy while safeguarding our environment and public health,” added Alan Dillon, Minister of State with responsibility for Circular Economy. “Through significant investment in waste enforcement, remediation of legacy landfill sites, circular economy innovation and public engagement, we are creating the conditions for a more resource-efficient and resilient economy.
“This is about protecting our natural resources, supporting businesses, creating green jobs and ensuring communities across Ireland benefit from a cleaner and more sustainable future.”
Commenting on the government’s energy commitments in Budget 2027, Sean Casey, EY Ireland energy sector lead, said, “The energy supports announced in Budget 2027 will be important to ease the pressure on many households and businesses as a result of the impact of geopolitical volatility on energy prices this year.
“However, it will be important that this focus on necessary short-term supports does not come at the expense of longer-term investment and focus on accelerating domestic renewables, strengthening grid infrastructure and building system resilience. In this context the increase in microgeneration for households in Budget 2027 is particularly welcome.
“At a national level, this will mean continued investment in grid and supporting large scale renewable projects. At a business and household level, this will mean more supports to enable investment in solar, microgeneration, and crucially battery and energy storage capacity. In this context the increase in microgeneration for households in Budget 2027 is particularly welcome.” Read more here.

Poster announcing Decarbon 2027: Oil and Gas Decarbonisation Congress, with abstract glassy bubbles at the bottom.


Banner for the Oil and Gas Decarbonisation Congress (Feb 15–16, 2027, Berlin) with a dark background and abstract ribbon artwork.


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