44. Deputy Pádraig O'Sullivan asked the Minister for Climate, Energy and the Environment the schemes under his Department's remit funded from carbon tax receipts, including home energy upgrade grants, and the 2026 allocation to each; the estimated impact on those schemes of the deferral of the scheduled carbon tax increase from 1 May to 14 October 2026, and of any further deferral; and the way in which a resulting shortfall will be met. [65860/26]

The Programme for Government commits to using the carbon tax as a key tool to encourage a shift away from fossil fuels and to invest in a sustainable future. There are three areas within my Department that received funding from carbon tax revenue in Budget 2026.

Firstly, in the Residential /Community Retrofit area, the budget allocation for 2026 is a record €641 million (including €558 million from carbon tax). This will support over 73,000 home energy upgrades (including solar PV). This target includes 11,500 fully funded home energy upgrades under the Warmer Homes Scheme for households at risk of energy poverty. A record €340 million budget has been provided for this scheme for 2026.

There has been significant investment and year-on-year growth in home energy upgrades under the National Retrofit Plan. In the period 2019 to August 2026, the Sustainable Energy of Ireland schemes have provided c.€2 billion in support to homeowners and delivered over 287,000 home energy upgrades, including over 39,500 fully funded upgrades to households at risk of energy poverty under the Warmer Homes Scheme. Earlier this year, Government published a National Residential Retrofit Plan, including an enhanced set of measures to increase the delivery of home energy upgrades.

Secondly, the Just Transition Fund provides funding to local and community-led projects which are implementing innovative plans to support the transition to a low carbon economy across a range of activities in the wider-Midlands region, following the cessation of commercial peat extraction. In 2026, in addition to EU and other Exchequer funding, €6 million in carbon tax revenue is being provided towards the cost of local and community-led projects as the region continues its transition.

Finally, the Green Climate Fund, which is the world’s largest multilateral climate fund, is mandated to support developing countries. Ireland committed €40 million to the Fund in 2023. This contribution is being provided over four years, with €5 million provided in 2023; €15 million provided in 2024 and 2025; and €5 million to be provided 2026. €2 million of each year’s payment has been funded from carbon tax revenues.

Any potential decisions in relation to carbon tax will be assessed as part of the normal Budgetary process.