Jennifer Whitmore (Wicklow, Social Democrats)
Link to this: Individually | In context

400. To ask the Minister for Enterprise, Trade and Employment for an update on his Department’s work regarding the prioritisation of high impact projects with higher decarbonisation potential as part of their ongoing engagement strategy with clients, as committed to in the Climate Action Plan 2025 and due in Q4 2025; and if he will make a statement on the matter. [55512/25]

Peter Burke (Longford-Westmeath, Fine Gael)
Link to this: Individually | In context

As set out in my Department’s recently launched Action Plan on Competitiveness and Productivity, industrial decarbonisation is not just an environmental, but also a competitive and economic imperative for Irish businesses. As the Minister for Enterprise, Tourism and Employment I have responsibility for the reduction of industrial emissions by 35% by 2030.

Ireland’s largest industrial emitters are primarily in the cement, alumina, food & beverage, pharmaceutical and chemicals sectors. Most of these companies are clients of Enterprise Ireland (EI) and IDA Ireland and both agencies are actively working with them to progress impactful decarbonisation plans.

Last year I announced that €300 million would be available until 2030 through the Environmental Aid Scheme to EI and IDA’s client companies. The Scheme offers capital grants to businesses adopting low-carbon, efficient, and sustainable production practices. It supports transformative projects in emissions reduction, energy and resource efficiency, and climate action integration. Eligible initiatives include facility upgrades, new low-carbon technologies, and improvements in circularity and water use.

Below is an update of IDA and EI’s work on projects which have a high decarbonisation potential.

IDA Ireland

The IDA has committed to ‘Driving Sustainable Change’ as part of its 2025-2029 strategy, ‘’Adapt Intelligently’’. Through its Client Development Program, IDA Ireland develops tailored plans with its clients based on size and emission intensity. A dedicated team works directly with high-emitting clients to engage corporate headquarters on sustainability, whilst leveraging Government supports to drive decarbonisation and competitiveness. IDA Ireland also focuses on new investors into Ireland, ensuring that emissions are minimised from the outset, recognising that carbon avoidance is critical to achieving Ireland’s long term sustainability objectives.

Since 2022, IDA Ireland has supported over 60 decarbonisation investments. These investments are expected to abate approximately 90,000 tonnes of CO2 and represent client expenditure of just under €1bn. As we proceed into Q4 2025, IDA Ireland expects to see a continued steady pipeline of projects coming through.

Enterprise Ireland

Enterprise Ireland has also been working closely with its client base to progress industrial decarbonisation. Following on from changes outlined under the White Paper on Enterprise, the agency now accords equal weighting to employment, exports, and carbon emissions when evaluating a project.

EI’s core focus is on their largest emitting clients – a small number of companies which account for over 85% of the overall emissions base. In addition to decarbonisation activities, complementary opportunities also exist to help large clients to optimise operations in areas such as water and resource consumption, waste and circularity.

EI has approved almost €80 million in funding to support the decarbonisation and sustainable transition of Irish businesses under the Environmental Aid scheme, Green Transition Fund and Shared Island Capital Grant. This funding has benefitted more than 500 Irish companies, directly reducing CO2 emissions by an estimated 170,000 tonnes since 2022, with progress accelerating and 2025 projected to be the most successful year to date and anticipating support towards carbon emissions reductions in excess of 100,000t CO2.

The agency also continues to support companies of all sizes at every step of the decarbonisation and sustainability journey – from initial planning and capability building to investment, research and innovation, as they prepare for a low-carbon, more resource-efficient future. Whilst not large emitters, it should also be noted that SMEs can still cut their costs and increase their competitiveness by becoming more sustainable.

The Government offers a number of supports which SMEs can use to save on their energy costs, while improving their sustainability. The National Enterprise Hub provides businesses access to over 180 government supports and a team of advisors available to assist those who don’t know where to start or who just want to find out what they are eligible for.