The Republic ranks a disappointing 45th in the World Economic Forum’s 2024 Energy Transition Index (ETI), falling far behind European neighbours such as Sweden, Denmark and Finland, which hold the top three places, and the UK, which ranks 13th.
Scoring 66.1 out of 100, the State’s performance raises significant questions about why somewhere with substantial renewable energy potential is struggling to keep pace in the global shift toward cleaner, more sustainable energy systems.
The ETI, an annual assessment, evaluates countries across several dimensions, including the sustainability, security and affordability of their energy systems, as well as how prepared they are for a transition to low-carbon energy. The 2024 report indicates that while global average scores have reached a record high, momentum has been checked by a combination of energy price volatility, geopolitical instability and persistent infrastructure challenges.
The State’s relatively low ranking stands in stark contrast to the narrative of recent years, which has highlighted its abundant renewable resources, particularly in wind energy. The Government has set ambitious targets under the Climate Action Plan, aiming for 80 per cent renewable electricity by 2030 and a significant expansion in offshore wind capacity. Yet the ETI suggests that such targets are proving difficult to translate into measurable progress.
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One of the critical challenges has been the slow pace of planning and permitting processes for new renewable projects. Both onshore and offshore developments have faced lengthy delays, resulting in a backlog of projects unable to proceed to construction or grid connection. In parallel, the electricity grid has struggled with capacity constraints, making it difficult to accommodate new sources of renewable generation without significant upgrades.
Ireland’s energy system also faces the challenge of limited interconnection with other European markets. Unlike countries such as Denmark, which benefits from robust cross-border electricity links, Ireland operates largely as an energy island. This limits its ability to trade surplus renewable electricity or import power during periods of low wind generation, increasing exposure to price volatility and potential supply risks.
Despite progress in certain areas, Ireland remains reliant on fossil fuels, particularly natural gas, which continues to play a big role in electricity generation and heating. Efforts to electrify sectors such as transport and to improve energy efficiency in buildings have gathered pace but still lag behind those of higher-ranked nations. The State’s housing stock remains among the least energy-efficient in Europe, contributing to higher carbon emissions and higher energy costs for households.
In contrast, the countries leading the ETI rankings have benefited from sustained investment in renewable infrastructure, strong policy frameworks and high levels of public acceptance for clean energy projects. Their progress has been built over decades, with well-developed interconnections enabling them to balance variable renewable supply more effectively.
A spokesperson for the Department of the Environment, Climate and Communications said the Government remains committed to meeting its climate targets and acknowledges that challenges remain in planning processes, grid development and investment certainty. Recent measures aim to streamline approvals and accelerate the delivery of renewable energy projects.
However, the ETI ranking serves as a reminder of the distance the State still must travel. Meeting 2030 climate targets will demand not only ambition but decisive action to resolve systemic barriers that have slowed progress to date. Investment in grid infrastructure, clearer regulatory pathways and enhanced regional co-operation will all be crucial if the Republic is to improve its standing and fully exploit its renewable energy potential.
The energy transition is more than a technical undertaking; it is a strategic imperative with profound implications for economic competitiveness, energy security and climate commitments. The resources are in place, but unless structural issues are addressed swiftly, the State risks falling further behind in a rapidly evolving global energy landscape.