Minister for Energy Darragh O’Brien said he will be bringing a boiler scrappage scheme to Cabinet next week, with grants of €2,000 to scrap oil and kerosene boilers.
This is in addition to the existing grant of up to €12,500 available for heat pumps which brings potential savings of up to €14,500.
If approved at Cabinet, the scheme will come into effect from January 2027.
He will also seek Cabinet approval next Tuesday for a grant for battery storage, in advance of the Budget.
“A lot of people in this country, particularly in rural areas, are dependent on kerosene and home-heating oil,” he said in New York.
“You have seen the increases in prices particularly in that area.”
The boiler scrappage scheme would be a “top up” of existing grants to install heat pumps, he said.
Minister O’Brien said it will be used for boilers at the end of their lifespan “beyond a certain year”, and that the details would be ironed out next week at Cabinet.
Minister O’Brien said energy is an area where people are under pressure.
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He said there has been significant supports on fuel adding that he wants to make sure “those at risk of fuel poverty or those who are in fuel poverty” are supported through a Social Protection System.
He said he wants to phase contractor-led grants.
Minister O’Brien said retrofitting homes and pivoting to renewable energies is “one real protection that we can protect families and indeed businesses against future price shocks”.
He said the retrofitting of homes is “good for our economy” and “people’s pockets”.
Mr O’Brien said elevated fuel prices is a “global crisis” and the Budget will be a “cost-of-living Budget”.
“Families and businesses will be under pressure as we know,” he said.
