Energy and Infrastructure
Key developments
ONSHORE RENEWABLE ENERGY AUCTION
As RESS 6 kicks off, we look at the terms and conditions of the first auction to incorporate non-price criteria as required by the Net-Zero Industry Act in our briefing: Energy update: What we now know about RESS 6.
FLEXIBLE CONNECTION AGREEMENTS
EU provisions on flexible connection agreements and grid information requirements have been transposed in Irish law. We look at the detail in our Insights blog post: Energy update: Flexible connection agreements and new information requirements.
DATA CENTRE FAULT RIDE THROUGH
Operations of data centres and other transmission-connected facilities will likely be impacted by the CRU’s recent consultation which we look at in our briefing: New requirements for transmission-connected demand facilities.
GRIDS AND ELECTRIFICATION
The European Commission adopted several instruments to support resilience and decarbonisation. They include a proposal for a Regulation as regards future-proofing electricity bills through reducing system costs and fostering electrification and digitalisation, as well as an Electrification Action Plan.
We look at the proposed legislation in our Insights blog post: Energy update: EU proposes reforms to electricity network tariffs, smart metering and grid access.
As regards the grids package, the Council of the EU’s general approaches have now been published on:
- The proposal for a Directive amending Directives (EU) 2018/2001, (EU) 2019/944, (EU) 2024/1788 as regards acceleration of permit-granting procedure: Council: Public Register (10740/26) (PDF, 627 KB)
- The proposal for a Regulation on guidelines for trans-European energy infrastructure, amending Regulations (EU) 2019/942, (EU) 2019/943 and (EU) 2024/1789 and repealing Regulation (EU) 2022/869: Council: Public Register (10746/26) (PDF, 1.1 MB)
Our briefing on the initial grids package proposal is available here: EU Energy Grids Package.
ENERGY EFFICIENCY OBLIGATION SCHEME
European Union (Energy Efficiency Obligation Scheme) (Amendment) Regulations 2026 (PDF, 227 KB) amend Regulation 12 (Qualifying Actions) of the European Union (Energy Efficiency Obligations Scheme) Regulations 2025. The obligation to deliver qualifying actions falls on “Obligated Parties”, large suppliers and distributors of energy, who must achieve annual energy efficiency savings including by upgrading the energy performance of customers’ dwellings.
The Regulations upgrade the energy efficiency threshold in the obligation scheme from the old BER B2 standard to the new BER B standard, tracking the re-scaled rating system introduced earlier in 2026, which we outlined in our briefing: Ireland transposes key reforms for BER regime.
The Regulations also introduce a more flexible “B pathway” route for dwellings that cannot immediately reach a B rating but are demonstrably moving toward it, provided the homeowner or occupant is engaged through the advisory report process. This reflects the policy direction of the recast Energy Efficiency Directive and the updated Energy Performance of Buildings Directive to prioritise progressive deep retrofits rather than a binary pass/fail threshold.
DISTRICT HEATING
Government approval has been given for revisions to the General Scheme of the Heat (Networks and Miscellaneous Provisions) Bill 2024 to provide a regulatory framework for district heating.
RENEWABLE ENERGY DIRECTIVE (TRANSPORT FUEL)
European Union (Transport) (Renewable Energy) Regulations 2026 (PDF, 153 KB) transpose further elements of the Renewable Energy Directive (at Articles 25-27, 30 and 31a) into Irish law by updating definitions and cross-references across the biofuel/renewable transport fuel obligation regime, introducing the new RFNBO obligation category, tightening sustainability-certification evidentiary requirements, and revoking a now-superseded 2017 greenhouse gas reporting instrument.
CARBON BORDER ADJUSTMENT MECHANISM
European Communities (Carbon Border Adjustment Mechanism) (Amendment) Regulations 2026 (PDF, 369 KB) have been made to give domestic effect to the CBAM simplification changes which we summarised in our briefing: Carbon Border Adjustment Mechanism. They revoke and replace the previous Irish CBAM implementing instruments (European Communities (Carbon Border Adjustment Mechanism) Regulations 2024 (S.I. 539/2024 and S.I. 626/2024).
FUTURE ARRANGEMENTS FOR SYSTEM SERVICES
The SEM Committee is consulting until 25 September on potential measures to mitigate possible abuse of market power in the new System Services Markets under the FASS programme. An industry workshop will be arranged for early September to discuss the paper.
Further EU developments
ELECTRICITY
- Core capacity calculation region: ACER amended cost sharing rules for electricity redispatching and countertrading in the Core region. ACER also adopted decisions amending the day-ahead and long-term capacity calculation methodologies.
- Cost of new entry: ACER published the first open-access EU-wide dataset on cost of new entry values with the aim of improving the accuracy of adequacy modelling.
- Day-ahead and intraday price coupling: Views are invited until 31 August on amendments to the methodology for the price coupling, continuous trading matching and intraday auction algorithms.
GAS
- Methane regulation: The Commission is putting forward two recommendations to guide EU countries on compliance solutions and penalties regimes for the effective implementation of the EU Methane Regulation. The Regulation is intended to reduce emissions and reinforce security of supply by addressing methane leaks.
- Road transport: Council Implementing Decision (EU) 2026/1902 authorises Ireland to apply reduced rates of excise duty to commercial gas oil used as propellant by certain road transport operators.
CARBON
- ETS review: The Commission adopted its proposal to adapt the EU Emissions Trading Scheme to, among other things, provide relief to industry while aligning to the new 2040 emission reduction target of -95% relative to 1990. This change means allowances will continue to be issued into the 2040s. Further information is available here: Questions and answers on the EU Emissions Trading System (EU ETS) review.
- ETS free allocations: Commission Implementing Decision (EU) 2026/1862 determining the uniform cross-sectoral correction factor for the adjustment of free allocations of emission allowances for 2026 to 2030 has been published.
- Carbon Border Adjustment Mechanism (extension): Environment Committee MEPs approved extension of the CBAM to downstream goods and the setting up of a fund to support industry’s low-carbon transition. Parliament is scheduled to adopt its mandate for negotiations with the Council on the final version of the legislation during the September 2026 plenary session.
- Carbon Border Adjustment Mechanism (functioning): The Commission consulted on the conditions for selling and repurchasing CBAM certificates through a common central platform (by further specifying the timing, administration, structure and fees related to the management of the sale and repurchase of CBAM certificates, as well as the organisation and use of the common central platform, including the fees to cover the costs of the operation and management of the platform).
- Carbon farming: The Commission adopted certification methodologies for carbon farming under the Carbon Removals and Carbon Farming Regulation.
CRITICAL ENTITIES
The Commission published guidelines pursuant to Article 13(5) of Directive (EU) 2022/2557 on the resilience of critical entities, intended to further specify the technical, security and organisational measures that may be taken by critical entities.
PROJECTS OF COMMON/MUTUAL INTEREST
The Commission opened a call for applications until 30 September 2026 under the TEN-E Regulation for energy infrastructure projects in the hydrogen, electrolyser and CO₂ categories seeking PCI or PMI status.
TEN-YEAR NETWORK DEVELOPMENT PLANS
ACER identified improvements that could be made to the draft TYNDP 2026 Scenarios Report, including greater capture of the structural changes needed to achieve EU climate and energy targets in practice.
SUPPLY CHAINS
The European Commission opened an in-depth investigation to assess, under the EU Merger Regulation, the proposed merger between Saipem and Subsea7 to become “Saipem7”. The Commission is concerned that the proposed concentration may significantly impact effective competition in what it describes as the already highly concentrated the SURF services market (subsea umbilicals, risers, and flowlines).
NATIONAL ENERGY AND CLIMATE PLANS
Commission Implementing Regulation (EU) 2026/1807 updates Member States’ NECP reporting obligations in line with updates to the wider energy and climate law framework.
COUNCIL OF EUROPEAN ENERGY REGULATORS
CEER is consulting until 4 September 2026 on its 2027 Work Programme.
Further domestic developments
ENERGY WHITE PAPER
A White Paper is planned to set out the long-term vision for Ireland’s power sector to 2050. It is intended to provide a framework for future policy development, legislation and investment. Further information is available here: Minister O’Brien embarks on key White Paper – setting out long-term vision for power sector.
LNG TERMINAL
The Development (Strategic Gas Reserve) Act 2026 (PDF, 540 KB) enables the Minister to grant approval for the development and operation of a strategic gas reserve for the purpose of securing the State’s energy supply in case of emergency and for that purpose to disapply the Planning Acts. A Maritime Area Planning Act 2021 (Fit and Proper Person – GNI) Order 2026 (PDF, 165 KB) has been made declaring GNI a fit and proper person to hold a Maritime Area Consent.
FOURTH GAS PACKAGE
Consultation on the implementation of wholesale gas provisions in EU Directive 1788/2024 is open until 14 September 2026.
CLIMATE ACTION PLAN
The Climate Action Plan Progress Report for H1 2026 indicated 10 of 74 legacy climate actions were delivered in the first half of 2026.
Further CRU business
CONNECTION OFFERS
The CRU directed EirGrid and ESB Networks to provide a grid connection offer to any applicant located in the L1-2: Ireland Locational Capacity Constraint Area that is successful in the 2030/31 T-4 Capacity Auction.
GRIDS
The CRU published an information paper on the Electricity Transmission Network Allowed Revenues for 2027 and the associated Demand Transmission Use of System (D-TUoS) tariffs for the 2026/27 tariff year, as well as Electricity Distribution Network Allowed Revenues 2027 / Distribution Use of System (DUoS) Tariffs and Distribution Loss Adjustment Factors (DLAFs) for 2026/2027. The CRU also published a summary of responses to the 2021 and 2025 calls for evidence regarding the Electricity Network Tariff Structure Review. The CRU also published scores and panel feedback in the Gas Networks Stakeholder Engagement Evaluation Panel Close-out Report.
PUBLIC SERVICE OBLIGATION
The CRU published the PSO Levy to apply to all electricity customers from 1 October 2026 to 30 September 2027.
ELECTRICITY SAFETY
The CRU published an information paper that summarises the recent update of the Electrical Safety Criteria Document.
Further SEM Committee business
BIDDING CODE OF PRACTICE
The SEM Committee is consulting until 21 September 2026 on proposed amendments to the Bidding Code of Practice intended to improve the clarity, consistency and transparency of requirements.
SEM PARAMETERS
The SEM Committee is consulting until 7 September 2026 on operational parameters and scheduling and dispatch parameters.
CAPACITY MARKET
The SEM Committee published its decision on the parameters for the T-4 2030/31 Capacity Auction. It also published a timetable for the proposed Capacity Market Code modification on secondary trading above de-rated capacity (PDF, 197 KB).
Northern Ireland
OFFSHORE
The Department of Agriculture, Environment and Rural Affairs is consulting until 21 September 2026 on proposals to introduce environmental compensatory measures for offshore wind in Northern Ireland.
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