Ireland has reduced its energy-related greenhouse gas emissions by 16% since 2018, yet remains heavily reliant on fossil fuels as the economy continues to expand, according to a new report from the Sustainable Energy Authority of Ireland.
The Energy in Ireland 2025 report finds that while emissions linked to energy use are now at their lowest level in more than three decades, this progress has not translated into a decisive shift away from fossil fuels. Economic growth, population increases and rising energy demand continue to move largely in tandem with carbon output, creating a structural challenge for meeting future climate targets.
Ireland is legally required to cut greenhouse gas emissions by 50% by 2030. Although recent reductions have occurred alongside a 10% rise in population, an 18% increase in electricity demand and strong economic performance, the report concludes that the current pace of change remains insufficient. Average annual emissions reductions stand at 2.7%, while a sustained reduction rate of 5% is required to remain on track.
Transport remains a major concern. Despite a 5.3% fall in transport-related emissions since 2018, the sector is still powered overwhelmingly by fossil fuels, accounting for 93% of energy use. The annual reduction rate of 0.9% falls well short of what is needed. The SEAI points to the need for a substantial shift away from private car use, particularly for shorter journeys, towards public transport and active travel.
Progress has been made in expanding transport infrastructure, including cycleways, Local Link services, BusConnects, and the approval of DART+ and the Luas extension. The authority argues that continued investment, including long-delayed projects such as Metrolink, will be critical if transport emissions are to fall at a meaningful pace.
The electricity generation sector has delivered the most rapid emissions reductions. The removal of peat and coal, along with reduced reliance on gas, has been enabled by higher renewable output and increased electricity imports from the UK. Net electricity imports rose by almost 55% last year and accounted for 10% or more of gross electricity supply in 23 of the 24 months between October 2023 and September 2025. At certain points, imports have provided a significant share of supply, even exceeding wind generation during May 2025.
Renewables continue to expand. Solar electricity output rose by 70% last year, and heat pumps delivered more renewable energy than all solar farms and rooftop panels combined. Overall, wind, solar and other renewable sources now account for 41% of electricity generation.
SEAI Chief Executive William Walsh said the report demonstrates what is achievable through sustained investment and delivery. He highlighted grid upgrades and offshore wind as areas where accelerated progress could improve energy security and affordability. He also noted that approximately 60,000 homes were upgraded under the National Retrofit Programme during the year, improving comfort while easing energy costs.
The report also highlights the growing influence of data centres on electricity demand. Electricity usage has risen every year for the past decade, with data centres responsible for over 88% of the increase between 2015 and 2024. They now account for more than one fifth of total electricity demand, a level far above the EU average. Without this growth, electricity demand would have remained relatively stable over the same period.
While the SEAI frames the transition away from fossil fuels as central to a more secure and competitive economy, the data suggests that structural dependencies remain deeply embedded. Meeting 2030 targets will depend less on incremental gains and more on sustained delivery across transport, housing, grid capacity and demand management.
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