Dáil Éireann Debate, Thursday - 15 June 2023
88. Deputy Fergus O'Dowd asked the Minister for the Environment, Climate and Communications his views on the recently published report by the EPA that Ireland is set to miss out on its 2030 climate targets; and if he will make a statement on the matter. [28040/23]
View answerThe Environmental Protection Agency, EPA, report states Ireland will fall well short of its climate change targets. The expected reduction was 51% by 2030; it is now expected to be 29%. Significant new efforts need to be made. When does the Minister intend to introduce a new low-interest loan to help owners of domestic dwellings or people residing in them who do not qualify for free retrofit to be able to retrofit their homes and reduce their energy costs, which are rising appallingly high?
We intend to introduce it before the end of this year. It is taking longer than we wanted, mainly because the European Investment Bank is a key partner and it is the first time it has engaged in direct consumer-related lending. We had to change the structure of it to facilitate its concerns.
I will make a wider point. We discussed at length in earlier questions how we go further to meet our climate targets and close the gap. I will give two examples to give people a sense of what is possible. One area for which the Government has hopes, though it will have to deliver policy initiatives to make this happen, is as follows. Among the changes in the world contributing to decarbonisation is a huge ramp-up in heat pumps in homes and industry. There is a real opportunity for us to switch any industry using gas for heating at relatively low temperatures – anything below 120°C – towards using heat pumps. That is an area where we can go beyond what is in the modelling. The second example would turn a challenge into an opportunity by developing facilities here to produce cross-laminated timber and radically scale up the ability for fast modular, offsite, timber-frame construction housing using such timber. In such industrial development policy areas, I believe we can go beyond what is in the existing modelling, which is not in the EPA projections, and deliver on the change.
The real story regarding domestic retrofitting is that this area, as the EPA acknowledged, is working. We are seeing an incredible increase in demand for the one-stop-shop schemes, home retrofitting and the grant. We need the loan facility to add to that and make sure everyone can access the financing needed to avail of the grants. Retrofitting is ahead of expectation and target.
It might well be but I am getting complaints from people who have installed heat pumps and cannot pay the electricity costs. That is why the Minister has to look at other solutions as well.
I welcome his commitment to low-interest loans. Perhaps he could accelerate the process in order that households that are being crucified by energy bills will be able to meet or reduce them, at the very least.
I absolutely agree with the Deputy. I met my officials about this issue yesterday. We are confident we can deliver a scheme in the autumn to meet the gap the Deputy has mentioned. I look forward to delivering that.
