The Daily Star Ireland
The Irish government’s previously announced pledge to invest €2 billion in residential home retrofitting by 2030 is now facing uncertainty. Minister for Environment and Energy Darragh O’Brien has confirmed that the ambitious target is being re-evaluated following the release of an updated National Development Plan (NDP) earlier this week.
Budget Allocations Still Undecided
According to a spokesperson from the Department of Environment and Energy, specific funding details for programmes such as home retrofitting are yet to be finalized. The newly revised NDP, unveiled on Tuesday, increases overall funding by €30 billion over the next five years, but it does not offer a breakdown of how that money will be distributed across individual initiatives.
The €2 billion retrofit commitment was first introduced under the previous coalition government formed in 2020 by Fianna Fáil, Fine Gael, and the Green Party. That iteration of the NDP put climate action front and center, placing a strong emphasis on home insulation and reducing fossil fuel use. The plan set a course to raise the retrofit budget from €202 million in 2022 to €2 billion by the end of the decade.
While the 2025 budget includes a record €550 million for retrofitting efforts, questions remain about whether the long-term goal remains intact.
Green Party Voices Concern Over Possible Shift
Green Party Energy Spokesperson Ossian Smyth has expressed alarm over any potential deviation from the original retrofit timeline. He warned that scaling back the plan could undermine Ireland’s ability to meet its legally binding carbon reduction targets and would negatively affect households already struggling with energy costs.
In response, a representative from the Department of Climate, Energy and the Environment reaffirmed the government’s broader climate goals. They emphasized that retrofitting remains a cornerstone of Ireland’s strategy to create more energy-efficient, sustainable housing and lower utility bills.
Progress So Far and Future Goals
Progress on the National Retrofit Plan has been significant, according to government figures. In 2024, €421 million in capital funding facilitated nearly 54,000 home energy upgrades. The expanded 2025 budget aims to support over 64,500 additional upgrades, including through the Solar PV Scheme and SEAI-backed community energy programmes.
The department noted that since 2019, more than €1.4 billion has been invested in home energy retrofits, resulting in over 213,000 upgrades nationwide. This includes more than 69,000 homes upgraded to a B2 energy rating and nearly 28,000 fully subsidized upgrades for vulnerable households under the Warmer Homes Scheme.
While reaffirming commitment to the Sustainable Energy Authority of Ireland (SEAI) and its suite of energy efficiency schemes, the department acknowledged that funding allocations for specific programmes post-2025 are still being finalized and will be disclosed in due course.
What This Means for Irish Homeowners
Although a record level of retrofitting is currently underway, the lack of clarity on future funding raises concerns about the continuity and scale of support available to homeowners. For now, the government is urging patience, assuring that final allocations will align with Ireland’s long-term sustainability and climate goals.
Whether the €2 billion retrofit target survives the current review process remains to be seen, but the issue is likely to remain a focal point in Ireland’s evolving energy and climate strategy.
