Ireland's Home Retrofit Program Faces Delays, AIB Offers Green Finance
Ireland's 2030 home retrofit target of 500,000 upgrades is significantly behind schedule due to high costs. AIB is addressing this by offering lower-cost green finance and practical support. This initiative aims to boost energy efficiency, increase home values, and meet climate goals.
Ireland's national home retrofitting program aims for 500,000 B2 BER standard upgrades by 2030, but an ESRI review indicates it is significantly behind target and unlikely to meet it, even with accelerated deployment. High capital costs and disruption are identified barriers.
AIB is supporting customers with accessible, lower-cost green finance and practical guidance. Through the Government-backed Home Energy Upgrade Loan Scheme, AIB offers low-cost loans to supplement grants, helping households spread upfront costs. AIB also provides tools like a green living hub, sustainability advisers, a home retrofit report, and a Solar PV Calculator.
Retrofitting offers benefits beyond energy savings, including increased resale value. Geowox analysis shows a premium of nearly €100,000 for homes with high energy ratings. AIB notes growing consumer interest in running costs, with 62% of its mortgage lending in the Republic of Ireland last year being green mortgages for homes above a B3 BER rating.
Businesses are also adopting sustainable practices. Workplace furniture maker AJ Products, certified to ISO 9001 and 14001, uses sustainably managed forests and a circular strategy for its over 15,000 products. The company implements solar panels and sensor-controlled lighting at its offices and operates on a kaizen model for continuous improvement and waste elimination.