In this week’s bulletin read about the sustainability priorities for Ireland’s EU Council Presidency, new measures to accelerate critical infrastructure delivery, and the growing role of battery storage and renewable energy in supporting competitiveness and energy security. Also covered is the economic costs of climate inaction, strong growth in domestic economic activity, increasing uptake of EVs, and investment in climate resilience and infrastructure. The bulletin also examines climate and energy policy developments across the UK and Europe, sustainability reporting updates, and key resources for businesses and finance professionals, along with the usual resources, articles and upcoming events.

Ireland

Sustainability and Ireland’s EU Council Presidency

Ireland’s Presidency of the Council of the European Union began this week with an opening ceremony at Dublin Castle. Ireland’s policy programme for the Presidency was published on 10 June, and the Presidency priorities will focus on the core themes of competitiveness, values and security.

The Sustainability Policy developed for Ireland’s EU Presidency has as its core objective to support the organisation of Presidency meetings and events as sustainably as possible, in alignment with relevant legislation and policies. The policy focuses on six key areas: transport, meeting venues, accommodation, food and drink, printed equipment and materials, and merchandising.  

A dedicated EU Presidency Sustainability Award will be included in the 2027 Better Public Services Awards. The award will recognise those that demonstrated strong action and commitment in delivering a sustainable meeting or event.

Government announces further changes to support accelerated infrastructure delivery

The Minister for Public Expenditure, Infrastructure, Public Service Reform and Digitalisation, Jack Chambers T.D., has announced updates as part of the Accelerating Infrastructure Report and Action Plan (AIRAP) to enhance transparency, strengthen communication with the public and support evidence-informed regulatory reform. Read more from Chartered Accountants Ireland here.

Solar energy and battery storage

At an Energy Storage Ireland conference this week, Minister O’Brien Minister Darragh O’Brien highlighted the role of grid-scale battery systems in strengthening energy security in Ireland, describing the technology as important to improve renewable energy integration and support Ireland’s transition to a low-carbon electricity system.

Storage capacity systems play a key role in providing flexibility, reducing ‘dispatch down’ of renewables (i.e. times when renewable electricity cannot be used) and moving surplus renewable electricity to times of higher demand, which places downward pressure on costs.

A report presented at the conference asserts that storage could deliver “over €100 million in annual savings for consumers, while reducing emissions and making better use of Ireland's renewable energy resources”. The Minister stressed that the work being carried out by industry, Government and key stakeholders will deliver the electricity storage systems needed to support Ireland’s energy transition, in a timely and cost-effective manner; evidence suggests, however that Ireland is lagging behind similar countries in Europe in deployment of solar energy.

Advisory bodies warn of fiscal and economic risks from continued fossil fuel dependence

The Government this week announced an extension of the temporary reductions to fuel excise and the National Oil Reserves Agency Levy (NORA). The announcement was made the day before the publication of an Irish Fiscal Advisory Council report setting out why a failed climate transition will prove costly to the Irish economy. The Climate Change Advisory Council has also warned that the recent temporary emergency responses to fuel price increases have not been sufficiently targeted. Read more from Chartered Accountants Ireland here.

Growth in GNI, MDD and consumer spending

The Central Statistics Office has published the Annual National Accounts for the full year 2025 and revised estimates for the first quarter of 2026. The publication shows that both Gross National Income (GNI) and modified domestic demand grew by 4.7 percent last year, while consumer spending grew by 2½ percent in the same period. GDP grew by 8 percent in 2025, driven by an increase in pharmaceutical exports to the US.

Commenting, Tánaiste and Minister for Finance, Simon Harris. T.D. said: “Geopolitical events in the first half of this year underline the importance of continuing to build up our resilience to future shocks and tackle longer-term structural challenges, including by accelerating the transition away from fossil fuel imports.” 

Following publication of the mid-year exchequer position, the Government will publish its Summer Economic Statement in the coming weeks, setting out the broad parameters for Budget 2027.

The Economic and Social Research Institute's (ESRI) most recent Quarterly Economic Commentary (Summer 2026) also reports continued domestic growth despite global energy price spikes and geopolitical headwinds.

“Exceptionally strong interest” in EV scrappage scheme

There was exceptionally strong interest in a new grant from car dealerships and their customers for a Pilot Scheme to replace internal combustion engine (ICE) vehicles aged over 13 years with new battery electric vehicles (EVs). Such was the demand that the scheme was fully subscribed within one hour of its opening.

The ICE2EV Pilot Scheme, which was backed by €10 million in funding from the Climate Action Fund and administered by the SEAI, made a €5,000 grant available, in addition to the existing €3,500 SEAI grant. Under the Scheme, 2,000 ICE vehicles will be removed from Ireland’s roads and replaced by EVs. Early figures indicate a spread of demand across all counties, with 65 percent of the allocated funding ringfenced for rural areas.

The Scheme is now closed, but the existing SEAI EV purchase grant of €3,500 remains available to all private customers and continues to see strong growth.

Figures from Central Statistics Office show that the number of new electric private cars licensed for the first time in Ireland from January to May 2026 rose by 52 percent when compared with the same five-month period in 2025 (18,041 vs 11,877).

Funding to address storm damage

Funding of €40 million is to be made available by the Department of Transport to address the damage caused to regional and local roads by Storm Chandra earlier this year. After assessment in March 2026, approximately 130 roads were found to require complete reconstruction and over 440 had significant damage. Several bridge structures were also damaged and made impassable.

The funding provided will permit the local authorities facing the most significant road damage as a result of Storm Chandra, to undertake necessary work to restore these regional and local roads.

Storm Chandra and rainfall in the days that followed caused an estimated €26 million of insurance claims in the Republic of Ireland. Storm Éowyn, the previous year, resulted in claims excellent €301 million, making it the costliest weather event in Irish history. While business claims represented just 29 percent of the total volume, they accounted for a significant 55 percent of the overall cost, with the average business claim standing at €17,000.

Gender Pay Gap Portal - Launch of the Public Side

The Government has launched the public side of the Gender Pay Gap Portal, allowing the public to see, compare and review the employer data on gender pay gaps and filter by year, sector and company size.

The portal brings employers’ gender pay gap data together in a standardised manner, to improve understanding of the pay gap and how it might be reduced, further advancing equality between women and men. It supports the objectives of the National Strategy for Women and Girls 2025-2030 to further women’s economic empowerment.

As of 2025, all employers with more than 50 employees are required to publish their gender pay gap information on their website or make it publicly available to the public in some other manner.

Government allocation from Shared Island Fund to investments in infrastructure

The Government has approved allocations of €377 million from the Shared Island Fund for 12 new projects to be delivered as part of the Initiative over 2027-2030. Commenting, Taoiseach Micheál Martin said this brings total Government allocations from the Fund so far to over €1 billion, “building a more connected, sustainable and prosperous island for all communities”.

Investments are in rail infrastructure and connectivity between Dublin, Belfast and Derry as well as offshore wind energy infrastructure at ports North and South and a plan to complete the Ulster Canal blueway restoration. Other projects are to improve water quality, cross-border cancer support services in the North West, sustainability innovation by firms, enhancing the capacity of the digital creative industries on an island-wide basis, and funding third-level training for 1,000 early years educators.

UK/Northern Ireland

Renewable Electricity Generation Bill introduced in Northern Ireland

Economy Minister Dr Caoimhe Archibald has introduced a Renewable Electricity Generation Bill, which aims to deliver more local renewable electricity and support price stability for households and businesses. The Bill provides the legislative foundation of the Renewable Electricity Price Guarantee (REPG) scheme – a fundamental enabler for increasing locally produced renewable electricity, providing long‑term price stability for both consumers and investors. The introduction of the Bill is a key action of the Department’s Energy Strategy Action Plan 2026.

Separately, the Department for the Economy, working with the Utility Regulator, has introduced new connection charging arrangements for customers connecting to the electricity network in Northern Ireland. These arrangements apply to customers seeking a new connection or increasing the electricity capacity at an existing property. The new arrangements remove a previous financial disadvantage, particularly in rural areas, to businesses and homes seeking a new connection or increasing their electricity capacity.

Increase in Northern Ireland economic activity in 2026

Northern Ireland economic activity increased by 0.7 percent in the first quarter of 2026, reaching a new record high, with growth largely driven by the services sector, according to the Northern Ireland Composite Economic Index Quarter 1 2026, which published last week. Over the year to Q1 2026, economic output rose by 3.6 percent, with positive contributions from the services, production, construction and public sectors. Economic output is now 12.1 percent above pre-pandemic levels, highlighting the continued strength of the Northern Ireland economy despite ongoing economic challenges.

UK publishes International Climate Finance Strategy 2026

The UK Government has published an International Climate Finance Strategy 2026 policy paper. Identifying climate change and nature loss as the defining challenges of our generation, the report describes climate finance as a cornerstone of the global climate architecture. It sets out how the UK’s climate finance will deliver on four priorities, namely to: mobilise public and private finance at scale for climate and nature outcomes; transform the global energy system to deliver clean and affordable energy for all; accelerate a transition to climate resilient communities, economies and ecosystems; and safeguard and sustain nature, including forests, oceans and coastal, terrestrial and freshwater ecosystems.

UK launches taskforce to strengthen climate security

The UK has launched the first ever expert taskforce to advise government on how to better anticipate and respond to the growing risks climate change poses to national security.

Co-chaired by Climate Minister Katie White and Security Minister Dame Angela Eagle, the taskforce will meet to pinpoint gaps in the UK’s preparedness and identify the most serious climate and nature threats to national security.

In taking a joined-up look at climate security, the taskforce will examine how climate impacts overseas can translate into domestic pressures, including more people living in climate-vulnerable conditions and the consequences for UK. It will look at the risks to the UK and global economy, including what happens when assets, infrastructure or whole regions become too risky to insure or invest in. Finally, it will explore rising geopolitical tensions in places like the Arctic, where melting ice is creating security challenges.

Europe

ESAs’ consultation on simplifying EU Taxonomy disclosure framework

The European Securities and Markets Authority (ESMA), the EU’s financial markets regulator and supervisor, has launched a consultation on technical advice to the European Commission (EC) on selected KPIs under the Taxonomy Disclosures Delegated Act, focusing on simplification and reduction of reporting burdens for market participants. The European Commission requested each European Supervisory Authority (ESA) to provide advice on targeted aspects of the review the Taxonomy disclosure framework. The ESAs are requested to address specific issues within their remit, as well as horizontal topics of common interest.

The EBA consultation is accessible here, while EIOPA’s consultation can be found here.  

Electric car sales surge in Europe

Electric car sales in Europe are accelerating as high oil prices make the switch away from fossil fuels increasingly attractive. With more affordable models, lower running costs and growing consumer demand, electric vehicles are becoming a mainstream choice across Europe. According to the European Automobile Manufacturers’ Association (ACEA), more than one in five (20.6 percent) new cars registered in the EU in April 2026 were fully electric, up from 15.7 percent in April 2025 and on average 17.4 percent over 2025. The trend is even more striking over the long term: since 2019, the share of electric cars in EU sales has grown tenfold.

New E-commerce duty for small packages set to increase fairness for EU businesses and safety for consumers

The EU has abolished a customs duty exemption for e-commerce packages worth less than €150. The measure aims help to ensure fair conditions for EU businesses and safe choices for consumers, in response to the surge of billions of low-value e-commerce goods entering the EU, and to address packaging waste and carbon-heavy logistics associated with the fast-paced e-commerce model with frequent returns and long-distance shipping doubling transport pollution. Goods coming from third countries bought online and shipped directly to consumers will now pay a €3 customs duty per item. European consumers are not responsible for paying the duties to the customs authorities.

€2.5 billion of EU ETS revenues invested in cleaner energy systems in 11 EU countries

The European Commission and the European Investment Bank have announced today the disbursement of €2.5 billion from the Modernisation Fund to support 51 energy-related projects in 11 EU Member States. Financed by revenues from the auctioning of emission allowances from the EU Emissions Trading System (EU ETS), the Modernisation Fund aims to support lower-income beneficiary Member States to modernise their energy systems, meet their climate and energy targets, and implement their National Energy and Climate Plans. It also aims to contribute to the competitiveness of EU industry by supporting modern, efficient and resilient energy infrastructure, boosting renewable energy generation and storage, fostering innovation and helping to reduce the EU’s imports of fossil fuels.

MEPs back plans to accelerate energy project permit process

MEPs have backed a proposal to speed up the granting of permits for renewable energy projects, electricity grids, storage facilities, and recharging stations across the European Union, as part of the broader European grids package. The draft legislation introduces shorter deadlines, a single national digital portal for all permitting steps, and a dedicated EU-wide permitting framework for electricity grid infrastructure. Inter-institutional negotiations will start under the Irish Presidency of the Council, following the Council’s adoption of its own position on the file and once the Parliament’s mandate has been confirmed by plenary.

Separately, an assessment published by the European Environment Agency (EEA) found that while global gas price spikes this year cost the European Union an additional €13 billion by mid-April, renewables saved €29 billion. The assessment ‘Renewable electricity: best buffer against gas price volatility' finds that renewable energy sources are already shielding Europe from price shocks, acting as a buffer against gas price volatility.

OECD publishes report assessing climate alignment of financial flows

The Organisation for Economic Co-operation and Development (OECD) has published a report, OECD Review on Aligning Finance with Climate Goals 2026, which aims to supports policymakers and investors by tracking the evolving mix of climate-related financial sector policies, the degree of climate alignment of financial flows and the landscape of climate metrics used in the financial sector. The report notes a 25 percent growth in climate-related financial sector policies from 2023 to 2025, that 5 percent of global listed equity was in low-carbon sectors by 2025, and that 4 percent of corporate bonds issued in 2025 were green labelled. Since 2000, policymakers in 111 countries (and EU institutions) have adopted over 860 financial sector policies that integrate climate considerations to manage climate risks to financial stability and uphold market integrity.

Bonn climate conference concludes

The Bonn UN Climate Change Conference concluded after 10 days of discussions that sought to advance implementation of the Paris Agreement and prepare the ground for COP31 in Turkey later this year. A major theme of the Bonn conference was implementation with discussions focused on how countries can accelerate delivery of their climate targets and translate the outcomes of the first Global Stocktake into real-world action. 

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Technical Roundup

(from our colleagues in Professional Accounting)

• The International Organization for Standardisation (ISO) has published ISO 32212 Sustainable finance — Net zero transition planning for financial institutions.
• The European Commission (EC) has published comment letters received in response to its consultations on simplified ESRSs and on the voluntary standard for sustainability reporting.
• EFRAG has issued a series of nine videos featuring European SMEs that used the VSME standard for the first time to prepare their sustainability reports.
• The European Commission welcomed the Council's agreement on strengthening CBAM and extending it to specific downstream goods to reinforce existing anti-circumvention safeguards.
• The European Commission’s Directorate-General for Taxation and Customs Union (DG TAXUD) hosted a webinar on the implementation of the EU’s CBAM.

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Resources

EFRAG’s 2026 edition of the State of Play Report

EFRAG has published the 2026 edition of the State of Play Report, providing an evidence-based assessment of sustainability reporting practice over 900 assured 2025 sustainability statements prepared under ESRS. It examines how preparers have approached their second year of Corporate Sustainability Reporting Directive (CSRD) reporting, drawing on a comprehensive baseline of 905 FY2025 sustainability statements subject to assurance by a third-party in accordance with the European Sustainability Reporting Standards (ESRS).

Webinar on ‘easy wins’ to lower SMEs’ energy bills

The SEAI and the Local Enterprise Office (LEO) hosted two webinars called ‘Easy Wins for Lower Energy Bills for SMEs. The webinars talked through the various energy efficiency grants available and how to apply for them. Links to the recordings are here: Watch part 1 and Part 2. 

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Articles

• Euro zone activity shrinks less than expected, easing fears about impact on inflation (Irish Times)
• From cool boxes to dawn starts, Europe Inc adapts to heatwave (RTÉ News)
• Energy reform at the centre of Irish EU presidency brings promise of industry ‘gold rush’ (Business Post)
• World Bank Drops Climate Finance Target Under U.S. Pressure (ESG Today)
• New Zealand Proposes Adopting IFRS S2 as New Climate Reporting Standard (ESG Today)
• Sustainability gap exposed: only one-fifth of execs are quantifying financial impact (KPMG)

Events

You can find information, guidance and supports to understand sustainability and meet the challenges it presents in our online Sustainability Centre.