Ireland’s Climate Action Plan (CAP21) was published by the Government in November 2021 as part of the new Climate Act, creating a legally binding agreement to significantly reduce and eventually eliminate all greenhouse gas emissions by 2050. The ambitious plan positions Ireland as one of the leading countries in the world for action on climate change.

What is the Climate Action Plan?

Focusing on driving sustainable futures the Climate Action Plan (CAP21) outlines new requirements that will ultimately reach almost every home and business in Ireland with the key objective of creating a cleaner, greener, and healthier society and economy while reducing the negative impact carbon emissions are having on the planet.

Target ranges have been set for each sector of the economy with the overall aim of reducing greenhouse gas emissions by 51% by 2030 and achieving net zero emissions no later than 2050.

What are the Climate Action Plan targets?

With a sector by sector approach the Climate Action Plan clearly outlines the target ranges for reduction of emissions as follows:

· Electricity 62-81%
· Transport 42-50%
· Buildings 44-56%
· Industry / Enterprise 29-41%
· Agriculture 22-30%
· Land use, land use change and forestry 37-58%

What does the Climate Action Plan mean for consumers and businesses?

Significant positive change is incoming however success across the board will be dependent on the delivery of public investment to support both consumers and businesses in adapting to the changes required. A €165 billion budget has been allocated within the National Development Plan with funds being made available to help retro fit over half a million homes and support upgrades to renewable heating sources.

Significant growth in smart home technology products is expected as sustainable living becomes the societal norm in what the Climate Action Plan describes as ‘energy transition’. Connected consumers will seek more ways to manage their lives using digital solutions that offer convenient access to achieving energy efficiency.

Businesses are presented with extensive opportunities to diversify and grow in the new energy era. The economic impacts look positive particularly in the employment market where thousands of new job opportunities are likely to be created particularly in the energy sector. The challenge for businesses will be adapting early and having the ability to implement real change at pace, both of which must be underpinned by the financial capabilities to do so.

How does the Climate Action plan impact the energy sector in Ireland?

The Climate Action Plan places highest priority on the energy sector, stipulating a requirement that up to 80% of all electricity generation must be from renewable sources by 2030. Breaking this down further there are specific targets for wind and solar PV generation with a target increase of 5GW from offshore wind farms and 8GW from onshore windfarms while between 1.5 and 2.5GW is to come from solar PV.

Within CAP21 there is also a microgeneration scheme that will be introduced for farmers, businesses and communities to generate their own electricity and deliver it back into the electricity network.

Given the planned growth in electrification of transport and heat, the demand for energy will be higher than ever before. 

The key consideration for the energy sector is achieving a balance between delivering against this forecasted demand increase while simultaneously reducing emissions bybetween 62-81%. 

It is also expected that there will be market-driven requirements for the energy sector to evolve as electricity becomes central to powering even more aspects of oureveryday lives.

What does the Climate Action Plan mean for the Energia Group?

Renewable generation and technology have been part of the Energia Group’s sustainability and innovation strategy for many years. This is demonstrated by continued investment in the development of offshore and onshore wind farms, solar PV sites, battery storage facilities and alternative renewable energy sources including hydrogen. Read more about our specific renewable projects.

Currently supplying 21% of Ireland’s renewable electricity, the Energia Group is well placed to deliver against the Climate Action Plan targets thanks to a long-standing focus on decarbonisation, flexible generation and customer led technology solutions.

More so than ever, there is an urgent need to have energy products and pricing that will support new usage requirements for homes and businesses. This will include the charging of electric vehicles, powering heating and supporting microgeneration. The Energia Group already has strong credentials in customer focused solutions with recent electric vehicle and renewable energy tariff innovations plus online and smartphone app account management.

Entering a new phase for the energy sector and society in Ireland as whole, is an exciting time for the Group. The challenge and success will remain in the ability to deliver renewable solutions that continue to offer excellent customer experiences that meet evolving consumer demands across homes, businesses, and communities.

Reference Source:
Department of the Environment, Climate and Communications: Climate Action Plan 2021 issued 4th November 2021 & updated 12th January 2022