Irish Environment Minister Darragh O’Brien is seeking Cabinet approval for a boiler scrappage scheme offering up to €14,500 in grants to replace oil and kerosene boilers with heat pumps, alongside a €600 battery grant, as part of broader energy efficiency initiatives.
The Irish government is advancing a new boiler scrappage scheme aimed at reducing reliance on fossil fuels, with Environment Minister Darragh O’Brien set to present proposals to Cabinet. The plan includes grants of up to €14,500 for households replacing oil and kerosene boilers with heat pumps, combining existing SEAI subsidies with new funding. A separate €600 battery grant will also be made available.
Grants and Eligibility Details
The scheme builds on existing SEAI grants, which currently provide up to €12,500 for heat pump installations, including €6,500 for the heat-pump system itself. O’Brien emphasized that the new boiler scrappage grant would act as a “top up,” targeting boilers at the end of their lifespan beyond a certain year
—though the exact cutoff was not disclosed. The €600 battery grant applies to those who have been already approved for solar and have solar, with additional support for those upgrading to cleaner heating systems.
The new supports, developed through the work of the National Energy Affordability Taskforce (NEAT), include a range of improvements to schemes administered by the Sustainable Energy Authority of Ireland (SEAI) to make it easier and more affordable for households and businesses to improve energy efficiency, install renewable energy technologies, and switch to cleaner heating systems. The proposals align with EU energy security efforts, as Ireland hosts a meeting of European energy ministers.
Repair and Lease Scheme for Social Housing
Meanwhile, Minister for Housing James Browne is seeking Cabinet approval for an overhaul of the Repair and Lease Scheme, which provides an interest-free loan of up to €80,000 per unit to owners of vacant properties to repair or convert their properties to rental standards. The renovated homes are leased to a local authority or an Approved Housing Body to provide social housing, with the loan repaid as an offset on the lease payment. The scheme is increasingly used to renovate vacant commercial properties into small developments of one or two-bedroom houses, with 58% of the properties as part of the 2025 scheme delivery being one-bed units.
Mr Browne is to seek approval to direct local authorities to prioritize the delivery of studio and one-bed units under the scheme, in line with a Programme for Government commitment. He also wants to expand eligibility to bring more property owners into the scheme. At present, applications for existing residential properties are limited to owners who require capital funding, a measure intended to exclude investment firms but which proved difficult to implement.
Minister’s Comments and Policy Context
O’Brien highlighted the financial strain on rural households dependent on kerosene and heating oil, stating, A lot of people in this country, particularly in rural areas, are dependent on kerosene and home-heating oil. You have seen the increases in prices particularly in that area.
He described the scheme as a “top up” of existing grants to install heat pumps, stressing its dual benefits for climate goals and cost-of-living pressures.
The informal EU energy ministers’ meeting, held in Dublin Castle under Ireland’s Presidency, focuses on coordinating action to cushion the impact of soaring energy prices. Energy Commissioner Dan Jorgensen wrote to member states ahead of the meeting, recommending measures to reduce demand for electricity and gas. While the talks are not expected to result in major decisions, they aim to align bloc-wide efforts.
Implementation Timeline and Uncertainties
O’Brien confirmed the boiler scrappage scheme is planned to commence in January, with Cabinet approval expected soon. However, details about eligibility criteria and implementation timelines remain under discussion. He noted, It’s obviously end of life, but those details we’ll be going through with Cabinet colleagues next week,
indicating unresolved specifics.
The €14,500 grant amount is confirmed, but the exact threshold for boiler eligibility—such as age or efficiency standards—has not been finalized. O’Brien also mentioned ongoing discussions about carbon tax adjustments and easier energy provider switching, though solar panel grants were not part of the immediate plans. The National Energy Affordability Taskforce is examining ways to improve transparency around energy bills and simplify provider switching, with potential savings of hundreds of euros for households.