This article was originally published on 12 November 2019 in Energy Spectrum Ireland.
Minister for Communications, Climate Action and Environment Richard Bruton and Minister of State Sean Canney have unveiled the details of Budget 2020. Issued on 8 October, the budget highlights the government’s decision to raise the price of carbon to €80 per tonne by 2030, which will be ring-fenced in order to raise more than €6bn in the next decade.
The move will see up to €90mn raised and ring-fenced to ensure those who are susceptible to higher fuel and energy costs are supported and will enable a just transition and unlock investment in further climate action.
“Bold decisions are needed on our investment priorities but also on taxation and regulation. Carbon pricing is part of this,” confirmed Minister for Finance and Public Expenditure and Reform Paschal Donohoe T.D. “The Climate Change Advisory Council have said that increasing the price of carbon is essential if we are to hit our climate targets. We must scale up our production of renewables, increase the level of retrofitting, electrify transport and introduce changes to make our land use more sustainable,” added Minister Bruton. Figure 1 showcases how the rise in the Carbon Price will underpin key areas in Ireland’s transition.
