19th October 2026 |
Reports, Research and Analysis
Two years on from the launch of the circa €300 million Environmental Aid Fund, decarbonisation is driving cost savings for industry.
This report, published by the Department of Enterprise, Tourism and Employment and the Department of Climate, Energy and the Environment outlines how companies are being supported by the government and its agencies to invest in decarbonisation, enhancing their long-term competitiveness and resilience whilst reducing on-site emissions.
Analysis in the report highlights that more than €300 million has been committed through Enterprise Ireland, IDA Ireland and the Sustainable Energy Authority of Ireland to support industrial decarbonisation projects since this government has formed. This includes €163 million allocated through the Environmental Aid Fund since 2024, to support 43 decarbonisation investments.
These grants are backed by more than €1 billion of private investment from the companies involved, illustrating strong industry commitment to decarbonisation and the importance of grant aid in de-risking investment.
Substantial progress is being made, the total commitment to abate emissions through investment in industrial decarbonisation since 2022 is more than 346,377 tonnes of CO2 equivalent.
In many cases, decarbonisation investments have delivered measurable financial returns through lower energy costs alongside significant emissions reductions, as showcased in one of the report’s case studies.
The report also emphasises the role of collaboration, including all-island initiatives supported through the Shared Island Fund, which are helping firms test innovative decarbonisation technologies and create pathways for wider industry adoption.
While substantial progress has been achieved, the report’s findings identify significant barriers to further industrial decarbonisation. These obstacles are highlighted as critical policy issues that must be addressed to accelerate future investment.
Topics:
Sustainable business, Supports for SMEs, The Business Environment