Commercial and industrial heat pump deployment in Ireland remains limited despite strong residential growth. Commercial and industrial heat pump deployment in Ireland is hampered primarily by the electricity-gas price disparity, combined with a limited market for industrial heat pumps and insufficient industry knowledge & expertise.

Additional barriers include practical constraints on expanding manufacturing and the availability of sufficient numbers of trained installers along with non-cost barriers such as lack of information, split incentives, and building regulations.

District heating development in Ireland is accelerating with landmark legislation and funding. Minister O'Brien allocated €5 million to support pre-construction development costs of efficient district heating projects while the Heat Bill 2024 was approved Agriculture Minister.

Ireland has one of the lowest shares of district heating in Europe at less than 1 per cent of the heat market in comparison to the European average of 10 per cent of the heating market. As things stand, Ireland has the lowest share of renewable heat and cooling in Europe, with only 6.3% renewables being used to supply district heating compared to Sweden's 66.4% and the EU average of 21%

Ireland's evolving energy policy is beginning to support the development of private wire arrangements—direct, behind-the-meter connections between renewable energy generators and end users, bypassing the national electricity grid.

Energy Storage remains key to Ireland's Energy Transition ambitions. The ability to take advantage of the vast offshore potential to support critical industry and infrastructure development is fundamental to our continuing economic success and well-being.