Sustainability, Competitiveness and Resilience Bulletin, 15 May 2026

In this week's bulletin read about major developments shaping energy policy and practice, from offshore wind investment, new warnings on energy security and fossil fuel dependence, updates on energy affordability measures, and insights on skills, demographics and the UN Sustainable Development Goals. Also covered is the latest European State of the Climate report highlighting accelerating physical climate risks, developments in EU emissions trading and Carbon Contracts for Difference, EFRAG’s sustainability reporting priorities and further implementation guidance to support consistent sustainability reporting, as well as the usual articles, resources and events.

IRELAND

‘Sizable international interest’ in investing in Ireland’s offshore energy development

The Minister for Climate, Energy and the Environment Darragh O'Brien has described Ireland’s offshore wind potential as attracting “sizable international interest in investing in our offshore energy development.” The Minister was commenting at the launch of a report published this week by the Offshore Wind Delivery Taskforce, at which he underscored the need for Ireland to develop renewable energy, particularly offshore wind energy. Also stressed was the need for collective action: “The scale of our move away from fossil fuels is such that we need ongoing engagement and collaboration between government, industry and citizens – as we look to realise our renewable energy ambitions.”

The report presented key achievements, highlights, and challenges faced in 2025 across the Taskforce's 9 cross-government workstreams, alongside actions to be delivered in 2026 in Ireland’s journey towards becoming a global leader in offshore energy.  Key milestones include significant progress across Ireland’s ports, completion of Ireland's offshore wind industrial strategy 'Powering Prosperity', and the implementation of the Offshore Wind Skills Action Plan.

Separately, Minister O'Brien signed two Memorandums of Understanding (MoUs) on energy cooperation at the WindEurope conference in Madrid, reinforcing Ireland’s commitment to strengthening regional collaboration and accelerating the transition to a clean, secure energy system. The first MoU, agreed with the Government of Spain, establishes a framework for both countries to explore the potential development of a future electricity interconnector between Ireland and Spain. The second MoU with the United Kingdom extends the existing Ireland-UK Memorandum of Understanding on energy transition, which is due to expire in June 2026. Both agreements come as Ireland prepares to assume the Presidency of the Council of the European Union in the second half of 2026, when it will progress a number of key legislative files, including the European Grids Package, which aims to support the delivery of a cleaner, more secure and more affordable energy system across Europe.

Ireland’s energy import dependency was 80% in 2024, the fourth highest in the EU

Data released by the CSO on resources used in the enterprise economy and the waste and recycling practices of Irish enterprises has found that 80 percent of energy consumed in Ireland is imported. In 2024, Ireland’s total primary energy requirement remained heavily fossil fuel dependent, with 81 percent from fossil fuels.

While the report suggests that, Ireland’s economy is becoming less resource-intensive and is consuming less material per unit of economic activity, it also stressed that decreasing energy consumption and shifting away from imported fossil fuels could support a more resilient, sustainable and competitive economy: “For enterprises, improved energy efficiency may reduce operating costs, improving competitiveness, while enterprises that depend less on fossil fuels may be less exposed to volatility in energy prices and supply disruption.”

Ireland unnecessarily exposed to global energy shocks, report finds

The Climate Change Advisory Council has warned that limited additional renewable capacity leaves Ireland unnecessarily dependent on imported fossil fuels and exposed to global energy shocks. In its report Annual Review 2026 - Electricity, which was published this week, the Council also reminded the Government of the importance and urgency of delivering on their Programme for Government commitment to end Ireland’s reliance on fossil fuels by accelerating the transition to secure, domestically generated renewable electricity, particularly wind and solar.

The Critical Infrastructure Bill was singled out as needing to designate electricity grid reinforcement projects for prioritised delivery – with clear timelines, accountability and transparency – but should not remove the climate obligations that apply to all public bodies under Irish law. The Government’s Critical Infrastructure Bill is currently progressing through Committee Stage and will shortly proceed to the Seanad for debate before being signed into law.

The Council also says Regional Renewable Energy Strategies, which translate national targets into county-level plans, must be adopted by the end of 2026, and that electricity resilience must now be treated as a core element of national climate adaptation planning, with investment in backup power solutions and electricity infrastructure needed to ensure the Electricity sector can better withstand future extreme weather events.

Energy Affordability Action Plan to be submitted to government in Q3 2026

In an update to Cabinet this month, Minister for Climate, Energy and the Environment Darragh O'Brien has confirmed that the National Energy Affordability Taskforce (NEAT) is working on an Energy Affordability Action Plan to be submitted to government in Q3 2026. This Action Plan will be focused on short, medium and longer-term measures to support households and businesses to meet their energy costs, and will be built around 4 key pillars. These are: addressing the price of energy, sustainable demand and enhancing flexibility, addressing energy poverty and customer protections, and energy affordability for businesses.  NEAT was established in June 2025 to identify and implement measures to enhance energy affordability for households and businesses. Its expanded remit now encompasses both the longer-term Energy Affordability Action Plan and a coordinated national response to the energy shock arising from the ongoing conflict in the Middle East.

Regulations give effect to scale of fees for environmental judicial reviews

Minister for Climate, Energy and the Environment Darragh O’Brien and Minister for Public Expenditure, Infrastructure, Public Services Reform and Digitalisation Jack Chambers have signed regulations to give effect to introducing a scale of fees for environmental judicial reviews.  The regulations, which will come into effect on Monday, 18 May 2026, were provided for in Section 294 of the Planning and Development Act, passed by the Oireachtas in 2024.

Up to this point, if a judicial review was taken on environmental law grounds, where the review was upheld, a public body was liable for legal costs of the successful applicant. This brought about unpredictable costs for the taxpayer and often negative environmental outcomes, such as the stalling of renewable energy projects. The regulations identify the type of judicial review proceedings to which they apply and specify a scale of costs to be awarded to applicants, subject to judicial discretion for a successful applicant.

Population growth and ageing in Ireland: What It means for work

The Expert Group on Future Skills Needs (EGFSN) has published a new report, ‘Skills Needs for Ireland in the Long-term’, setting out how demographic change is likely to shape Ireland’s labour market and skills requirements in the decades ahead. The analysis indicates that Ireland’s population is expected to grow significantly while also ageing, pointing to projections from the Department of Finance and the CSO — creating both opportunities for economic growth and challenges for labour supply, skills availability and workforce participation. The paper was authored by Diarmaid Smyth and issued by the Chair of the EGFSN, Colm Kelly, PwC Global Leader, Corporate Sustainability, council member of the World Business Council for Sustainable Development, a Commissioner for the Business Commission to Tackle Inequality.

Ireland’s UN SDG indicators for Goal 8 Decent Work and Economic Growth publishes

The Central Statistics Office (CSO) has published Ireland's UN SDGs indicators data for Goal 8 Decent Work and Economic Growth. The data showed average hourly earnings rose by 3.4 percent to €31.22 in Q4 2025, from €30.18 in Q4 2024. Employees in larger enterprises were more likely to earn more. Average hourly earnings in Q4 2025 were €34.72 in firms with more than 250 employees compared with €26.91 in firms with less than 50 employees. The unemployment rate was similar for males and females, at 4.4 percent and 4.3 percent respectively, but the male unemployment rate of 10.1 percent was higher than the female unemployment rate of 9.4 percent among youths aged 15-24 years in this period. This is the eighth publication on Ireland's UN SDGs in a series from the Central Statistics Office (CSO), monitoring and reporting on how Ireland is progressing towards meeting its targets under the 17 Sustainable Development Goals (SDGs) from the United Nations (UN). 

Ireland raises €2 billion through syndicated tap of 2043 Irish Sovereign Green Bond

The National Treasury Management Agency (NTMA) has announced this week that Ireland raised €2 billion through the syndicated tap of the existing 2043 Irish Sovereign Green Bond. The funds were raised at a yield of 3.642 percent. Commenting, NTMA Director of Funding and Debt Management Dave McEvoy said: “Investor appetite for Irish Government bonds remains strong, and we have now raised almost 70% of the mid-point of our €10 billion to €14 billion bond funding range for the year. This leaves us well positioned heading into the second half of 2026”.

NORTHERN IRELAND/UK

Public consultation on investment programme to support sustainable economic growth

The Northern Ireland Office is seeking views from stakeholders to inform the development of the Northern Ireland Local Growth Fund, a multi‑year investment programme supporting sustainable and inclusive economic growth. The consultation focuses on priorities for future funding, including infrastructure, skills, innovation and place‑based investment, with scope to embed low‑carbon development, environmental resilience and long‑term sustainability into local growth initiatives. Views are invited from businesses, local authorities, community and environmental organisations, and other interested parties. Responses must be submitted by 5.00pm on Friday, 26 June 2026 via the official government webpage.

UK SME Climate Hub launches Climate Action Planner

The UK SME Climate Hub has launched a free tool that helps SMEs create climate action plans outlining how they will reduce greenhouse gas emissions and prepare for the impacts of climate change. Sponsored by the UK Government’s Department for Energy Security and Net Zero, the Climate Action Planner, tool helps SMEs by allowing them to quickly identify practical steps  to take to reduce emissions, cut costs, and build resilience. The tool pulls from a library of over 750 actions and creates a personalized Climate Action Plan in about 60 minutes. 

EUROPE

Warming continent compounding pressures on economic output

The European State of the Climate Report 2025 has highlighted that Europe is warming twice as fast as the global average, making it the fastest warming continent, and, as UNEP’s David Carlin reports, compounding pressures on the systems that underpin economic output, with ever more regular risks need to be priced into asset valuations and sovereign fiscal planning. Power grids, inland shipping, agricultural supply chains, and industrial cooling will all be affected, and consequences of European rivers running below average include negative impacts on hydropower, nuclear power, freight logistics, and industrial water use: “For the financial sector, physical risk is becoming a driver of insurance retreat, credit risk in climate-exposed sectors, and revaluation of assets.”

Germany announces €5bn Carbon Contracts for Difference auction for heavy industry

Germany has announced a new auction worth up to €5 billion to support heavy industries in cutting emissions through Carbon Contracts for Difference (CCfD). Targeting sectors such as steel, cement, chemicals and glass, the scheme will bridge the cost gap between traditional production and greener alternatives like hydrogen and carbon capture over 15 years. It follows a 2024 round that allocated €2.8 billion to 15 projects. Although funding is lower than the planned €6 billion, the initiative signals continued government backing. Firms can bid until 7 September, pending European Commission state aid approval.

Commission presents updated EU Emissions Trading System benchmarks for consultation

The European Commission has proposed the updated European Union Emissions Trading System (EU ETS) benchmark values for 2026-2030, which will now be open to public and Member State consultation before adoption. The benchmark update aims to determine the level of free allocation of allowances for European industry. The update to the benchmark values for the period 2026-2030 is required under the ETS Directive. It complements the proposed amendment to the ETS Market Stability Reserve presented on 1 April, which will adapt and better equip the reserve to respond to future market developments, including potential tightness in supply in the coming decades. With the proposed benchmarks, industry will, on average, continue to receive free allocation covering around 75 percent of its emissions. These measures should also be seen in the broader context of the EU ETS review due in July 2026, which aims to ensure that the ETS remains fit for the future and continues to support European industry in its decarbonisation transition.

EFRAG submits Sustainability Reporting Work Programme 2026

EFRAG has submitted its Sustainability Reporting Work Programme 2026 to the European Commission. This sets out its strategic priorities and planned activities. Some of the key priorities include the development of N-ESRS for non-EU groups, the continuation of the SME ecosystem, implementation support, advancing interoperability and accelerating digitalization. Separately, EFRAG added a new VSME Educational Video to its Knowledge Hub which explores the different functionalities of the VSME section of the Knowledge Hub.

WORLD

ISSB releases new TIG resource

The International Sustainability Standards Board (ISSB) has released a new Transition Implementation Group (TIG) resource to support the implementation of the IFRS S1 and S2 standards. The resource presents responses to questions submitted to the TIG that were categorised as questions that can be answered applying the words in the ISSB Standards where a specific paper on the question was not prepared for discussion by the TIG. This resource will be updated as implementation questions that fall within this category are received and reported to the TIG.

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DID YOU KNOW?

The SEAI Energy Awards 2026 are now open for applications. These awards recognise and reward excellence in all aspects of energy efficiency and renewable energy. Organisations across Ireland apply every year to one of 11 categories.

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RESOURCES

Podcast: Can businesses mitigate rising energy prices? (ICAEW Insights – 13mins)

Greenfields Energy Group’s co-founder Liam Conway discusses energy impacts of the Iran War and outlines the best ways for businesses to protect themselves from global energy shocks. 

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ARTICLES

• David Carlin “AI is coming to your sustainability team. Ask these four questions first.” (Normative IO)
• EU Parliament SFDR Draft Proposes Tougher ESG Fund Labelling Rules (ESG Today)
• 82% of Companies Maintaining or Accelerating Climate Goals, as Decarbonization Efforts Extend to Supply Chain: PwC (ESG Today)
• The case for flexible working: ‘We lose one-third of women in their child-rearing years’ (Irish Times)
• Q&A: Why does gas set the price of electricity – and is there an alternative? (carbonbrief)
• Dismantling of climate law will reduce scrutiny of large infrastructure projects (Irish Times)
• Ireland’s housing gap is a scale problem, not a demand problem (Business Post)
• ‘Go further’ on EV charging point rules for new builds, ministers told (Business Post)
• Ireland could fund renewable projects elsewhere as part of EU deal to meet climate targets (Irish Times)
• Electric vehicle sales rise again in April and are now 73% ahead of same time last year (Irish Times)
• Colombia hosts first meeting to quit fossil fuels as energy crisis worsens (Financial Times)
• Chinese Truck Drivers Are Going Electric as Gas Prices Soar (Bloomberg)
• Climate change set to leave a bitter taste for tea drinkers (RTÉ News )

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EVENTS

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Sustainability Centre

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