Ireland is allocating a total of €3.5 billion to reform of its electricity grid infrastructure – a move the government says will ensure the system is prepared for a renewables-led future.
Of the total package, €1.5 billion will be allocated as equity to distribution system operator (DSO) ESB Networks, with €2 billion going to the national transmission system operator (TSO) EirGrid.
ESB Networks is currently implementing a grid resilience plan for the winter months which involves addressing potential infrastructural weaknesses in areas vulnerable to bad weather conditions. It is due to be completed by October of this year.
EirGrid, meanwhile, is in charge of the ongoing work to connect the grids of Ireland and France via the Celtic Interconnector project, due to be completed in 2027. Its most recent business development plan for the period 2026 to 2030 targets significant investment in talent and technological development – with the latter to include delivery of new onshore infrastructure such as new overhead lines, new underground cables and new or expanded substations.
The funding will enable both organizations to increase their respective capital investments to expand Ireland’s offshore and onshore electricity transmission and distribution network infrastructure.
Ireland’s Minister of Climate, Energy and the Environment, Darragh O’Brien, said “This €3.5 billion investment is about building the energy infrastructure that Ireland needs for the future. It’s about ensuring every home and business has a reliable and secure source of electricity, creating thousands of jobs, and making Ireland a more attractive place for international companies to invest and grow.”
EirGrid’s CEO Cathal Marley also welcomed the investment, claiming it would support EirGrid to carry out “the most ambitious program of work ever undertaken on the transmission system in Ireland.”
The investment forms part of Ireland’s National Development Plan and is the largest single investment in the electricity network in the state’s history.
“A modern, resilient electricity grid is the backbone of everything we want to achieve,” said O’Brien, adding: “This investment will help to deliver energy security for Irish families and businesses, while helping us reach our target of generating 80% of our electricity from renewable sources by 2030.”
Ireland is targeting 8 GW of solar, 9 GW of onshore wind and 5 GW of offshore wind in construction by 2030. Earlier this month the government approved a policy allowing private companies to invest in private grid connections to bypass the public grid in certain cases, a move that Solar Ireland has welcomed on behalf of the country's solar industry. The lobby group believes the policy could unlock significant opportunities for Irish solar companies to sign power purchase agreements with offtakers, particularly those in the data center sector.
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