Minister O'Brien announces publication of the National Energy Affordability Taskforce interim report

Taskforce's work is focused on energy affordability in the years ahead – to ensure affordable, secure and clean energy for households and businesses

The Minister for Climate, Energy and the Environment Darragh O'Brien today announced the publication of the Interim Report of the National Energy Affordability Taskforce (NEAT).

The Taskforce was established in June 2025, bringing together representatives from across government and key energy sector stakeholders, to identify and implement measures to enhance energy affordability for households and businesses. This report sets out the latest analysis of energy price trends, the supports currently available to households and businesses, and policy options to support households in the near term. It was developed during the Budget 2026 process and set out options for considerations to inform Budget negotiations. The report is the first part of the NEAT work programme; the taskforce will now work to develop a comprehensive Energy Affordability Action Plan, to be published in 2026, setting out reforms to enhance energy affordability in the years ahead to help ensure a fair, secure and affordable energy transition.

The publication of this interim report follows Budget 2026, which builds on the government's commitment to protect those most at risk of energy poverty, while moving away from universal, short-term interventions toward more targeted, enduring measures. The report includes a brief addendum, listing measures announced in the Budget to support households and businesses to meet their energy costs.

Commenting on the interim report Minister O'Brien said:

To view the Interim Report, please go to the webpage of the National Energy Affordability Taskforce.

ENDS

Budget 2026 Energy Affordability Measures

Taxation Measures

• The reduced 9% VAT rate on electricity and gas has been extended until 31 December 2030, to help reduce household energy costs by up to €100 per annum
• The €400 income tax disregard for certain profits arising from the micro-generation of electricity is being extended for a further 3 years to 31 December 2028. The relief applies to a qualifying individual who generates energy from renewable, sustainable or alternative energy sources for their own consumption, and who sells surplus electricity to the grid.
• The Accelerated Capital Allowances (ACA) scheme for energy-efficient equipment is extended until 31 December 2030, encouraging investment in low-emission technology among businesses
  

Social Protection Measures

• The Fuel Allowance weekly payment will increase by €5 (from €33 to €38 per week) from January 2026. This will provide an additional €140 during the annual fuel allowance season.
• Fuel Allowance eligibility has been broadened such that families receiving the Working Family Payment will qualify; this payment will be paid in March 2026 and backdated to January 2026
• To ensure that no recipients aged over 66 lose their entitlement to the Fuel Allowance Payment due to the announced increase in core social welfare payments, the allowable means is being increased. From January 2026 a single person over 66 can have means of €534 per week and a couple can have means of €1,068 per week.
• For those aged under 66 the means limit is linked to the rate of State Contributory Pension plus €200 and, therefore, increases automatically if there is an increase in the rate of the State Contributory Pension
• People moving from Disability Allowance or Blind Pension to take up work from September 2026 will keep their Fuel Allowance for 5 years
• These measures are part of a €28.9 billion allocation for social welfare in 2026, including over €1.15 billion of new measures targeted to assist households

Energy efficiency, retrofitting and home upgrades

• Record funding of €558 million is allocated for SEAI residential and community energy upgrade schemes (including the Solar PV scheme). This is an increase of €89 million on the Budget 2025 allocation to support delivery of the National Retrofit Plan. Individual measures such as cavity wall, external wall, or attic insulation can reduce household heating costs by between €150 and €230 annually. Recent figures suggest that a household could save between €750 and €1,120 per year by installing a deep package of measures.
• This funding is expected to be supplemented by additional funding, such as an allocation from the European Regional Development Fund (ERDF), which will provide for an increase in the allocation for the Warmer Home Scheme in 2026 (and for the overall 2026 budget allocation)
• Continued support is provided for the Home Energy Upgrade Loan Scheme, which provides low-cost retrofit loans with interest rates available from 3%
• Budget 2026 will see continued investment in public sector building retrofits – across a number of departments. As part of the first phase of ICNF (Infrastructure, Climate and Nature Fund) funding, it is intended that €21 million will be allocated for public sector retrofitting for 2026.

Network, offshore, and Just Transition investment

• As part of the first phase of ICNF (Infrastructure, Climate and Nature Fund) funding, it is intended that funding will be provided to de-risk and accelerate offshore renewable development (offshore site surveying) and other measures to enable greater renewable deployment; an initial allocation of €8 million for offshore site surveying is planned
• €82 million in funding, under Ireland's EU Just Transition Fund Programme for approved projects for the wider Midlands region, as part of an overall commitment of €169 million for the broader Programme
• The Budget also references the landmark €3.5 billion investment in national grid infrastructure across 2026-2030 as part of the updated National Development Plan