Government announces €3.5 billion investment in Ireland's electricity infrastructure

This transformative investment will strengthen Ireland’s energy security, support economic growth and accelerate our transition to renewable energy.

The investment will see €1.5 billion allocated to ESB Networks and €2 billion to EirGrid, enabling both companies to significantly increase capital investment to expand our onshore and offshore electricity transmission and distribution network infrastructure. This historic commitment will future-proof Ireland’s electricity system and ensure it can meet the growing demands of our economy, our homes, and our climate targets. The transition to a renewables-led energy system requires significant investment, but is crucial to provide secure, sustainable, and affordable energy for generations to come.

The enhanced grid will be crucial to deliver on key Programme for Government commitments, including achieving 80% renewable electricity by 2030. This requires building 9GW of onshore wind, 8GW of solar power, and 5GW of offshore wind in construction by 2030 – targets that are only possible with a world-class electricity network.

The scale of the investment is reflective of expenditure required in most European countries as they seek to increase connections of renewable energy, interconnect with neighbouring countries and provide reliable networks for the increased electrification of the energy system.

Commenting, Minister 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.

A modern, resilient electricity grid is the backbone of everything we want to achieve — from powering the 300,000 new homes we’ve committed to build by 2030, to attracting the foreign investment that creates jobs in communities across Ireland. 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."

Minister of State with responsibility for the Marine, Timmy Dooley, said:

"Ireland's offshore energy potential is enormous, and this grid investment is essential to unlock it. Our Atlantic coastline offers some of the best offshore wind resources in the world, and with the right infrastructure, we can transform Ireland from an energy importer to an energy exporter."

The investment forms part of the Price Review 6 (PR6) process currently underway, with a final decision by the Commission for Regulation of Utilities (CRU) expected by the end of the year.