Editorial & Advertiser disclosure

Global Banking and Finance Review is an online platform offering news, analysis, and opinion on the latest trends, developments, and innovations in the banking and finance industry worldwide. The platform covers a diverse range of topics, including banking, insurance, investment, wealth management, fintech, and regulatory issues. The website publishes news, press releases, opinion and advertorials on various financial organizations, products and services which are commissioned from various Companies, Organizations, PR agencies, Bloggers etc. These commissioned articles are commercial in nature. This is not to be considered as financial advice and should be considered only for information purposes. It does not reflect the views or opinion of our website and is not to be considered an endorsement or a recommendation. We cannot guarantee the accuracy or applicability of any information provided with respect to your individual or personal circumstances. Please seek Professional advice from a qualified professional before making any financial decisions. We link to various third-party websites, affiliate sales networks, and to our advertising partners websites. When you view or click on certain links available on our articles, our partners may compensate us for displaying the content to you or make a purchase or fill a form. This will not incur any additional charges to you. To make things simpler for you to identity or distinguish advertised or sponsored articles or links, you may consider all articles or links hosted on our site as a commercial article placement. We will not be responsible for any loss you may suffer as a result of any omission or inaccuracy on the website.

Headlines

Laggard Ireland may face 26 billion euro EU climate bill, watchdogs warn

Published by Global Banking and Finance Review

Posted on March 4, 2025

Featured image for article about Headlines

DUBLIN (Reuters) - Ireland may have to pay EU compliance costs of between 8 billion euros and 26 billion euros ($8.4 billion-$27.2 billion) if it does not swiftly implement its emissions-cutting plans by 2030, the country's fiscal and climate watchdogs warned on Tuesday.

The estimate, equivalent to between 3% and 9% of Irish national income, far exceeds the most recent 2023 government estimate of 3.5 billion euros to 8.1 billion for falling short of the 2030 EU climate change targets.

The Irish fiscal and climate change advisory councils said the government could reduce the potential costs to between 3 billion and 12 billion euros if it follows through on plans to cut greenhouse gas emissions that have yet to be enacted.

"Allowing these costs to fall on the Irish state instead of meeting its agreed commitments to reduce emissions would be a colossal missed opportunity," the two independent bodies said in a joint report.

As part of the EU's legally binding target of a 55% cut in emissions by 2030, member states that fail to hit their goals are liable to effectively pay those that exceed their targets by purchasing their surplus emissions allowances.

Ireland, which currently has the healthiest public finances in Europe, is the furthest from its emissions targets among member states on a per capita basis, according to European Commission data.

While they fell 6.8% in 2023 versus 2022, Irish emissions are projected to be between 11% and 29% below 2018 levels by 2030 depending on how much of the government's plans are implemented, the Environmental Protection Agency says.

The two watchdogs said the wide range of their estimated costs relates to the differing potential paths for Ireland's emissions and the "highly uncertain" price of missing targets.

They said measures including upgrading Ireland's energy grid, speeding up the roll out of electric vehicles and supporting changes in farming practices could help avoid some of the currently inevitable costs.

($1 = 0.9552 euros)

(Reporting by Padraic Halpin; Editing by Stephen Coates)