The Irish Government has announced a record package of state investment aimed at transforming the country’s electricity grid and expanding renewable energy generation, under a new plan from the Department of Climate, Energy and the Environment.
The Sectoral Capital Plan provides for €3.5 billion in equity injections from the State into grid operators EirGrid and ESB. Officials say the funding will help unlock capital expenditure of up to €18 billion to reinforce and modernise Ireland’s electricity infrastructure.
Minister for Climate, Energy and the Environment Darragh O’Brien said the scale of investment represents a decisive step in securing the country’s energy future.
“The Government’s decision to provide a total equity investment of €3.5 billion into ESB and EirGrid will future-proof Ireland’s electricity system and ensure it can meet the growing demands of our economy, our homes, and our climate targets,” O’Brien said.
“The transition to a renewables-led energy system is crucial to provide secure, sustainable, and affordable energy for generations to come.”
The plan allocates €3.7 billion for residential energy efficiency programmes under the National Retrofit Plan, which aims to support large-scale home upgrades and reduce reliance on fossil fuels.
Additional measures include up to €200 million for a national biomethane initiative, €100–200 million for offshore site surveys, and between €200 million and €500 million for public sector retrofit projects. Funding will also support the development of district heating infrastructure.
The investments are central to Ireland’s goal of generating 80% of its electricity from renewable sources by 2030. The government said the programme would also expand grid capacity to connect new onshore and offshore renewable projects.
Minister of State Alan Dillon said the plan would bolster Ireland’s circular economy, while Minister of State Timmy Dooley highlighted its potential to advance marine and environmental sustainability.
Separately, the Commission for Regulation of Utilities’ draft Price Review 6 outlines €18 billion in electricity system investment between 2026 and 2030, encompassing more than 500 network projects to strengthen grid resilience and support renewable integration.
