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OECD Environmental Performance Reviews: Ireland 2021 - Launch presentation by Rodolfo LACY
This document provides an overview of Ireland's environmental performance and policies based on an OECD review. It finds that while Ireland has made progress in some areas like renewable energy and carbon pricing, it still faces challenges meeting its climate and environmental targets. Agriculture is a major source of greenhouse gas emissions. Energy still relies heavily on fossil fuels, and transport patterns are dominated by private car use. Air quality issues persist from heating and transport. Water quality has declined and biodiversity is a concern. The document recommends accelerating policies like expanding protected areas, banning smoky fuels, and increasing investment in areas like retrofits, public transport and clean technology research to improve sustainability.
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OECD Environmental Performance Reviews: Ireland 2021 - Launch presentation by Rodolfo LACY
- 1. Ireland 2021 Rodolfo Lacy OECDEnvironment Director Launch presentation 10 May 2021 Environmental Performance Reviews
- 2. Many environmental pressures haverisen since the mid-2010s Source: CSO (2020), “National Accounts”, StatBank (database); FAO (2020), FAOSTAT (database); IEA (2020), IEA World Energy Statistics and Balances (database); OECD (2020), OECD Environment Statistics (database). 0 20 40 60 80 100 120 140 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2005=100 Primary Energy Supply Domestic Material Consumption Municipal Waste N2 balance GNI NOx GHG NH3
- 3. Ireland will missits GHG 2020 non-ETS target Source: EPA (2020), Ireland's Greenhouse Gas Emissions Projections 2019-2040. 0 10 20 30 40 50 60 70 80 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2020 non-ETS target 2030 non-ETS target TOTAL Non-ETS ETS GHG Mtons CO2e with existing measures with additional measures It should timely implement the Climate Action Plan to meet the 2030 target
- 4. Agriculture accounts fora large share of GHG emissions Source: OECD (2020), OECD Environment Statistics (database) Set a target on biogenic methane emissions Ensure consistency between agriculture production and climate mitigation objectives Agriculture Transport Residential and other sources Waste Energy Industries Manufacturing industries and construction Industrial processes and product use Others 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% New Zealand Ireland Denmark Latvia Lithuania France Australia Sweden Iceland Switzerland Turkey Spain Finland Hungary Portugal Slovenia Netherlands United States Austria United Kingdom Norway Greece Belgium Canada Poland Germany Estonia Italy Czech Republic Luxembourg Slovak Republic Japan GHG emissions by sector 2018
- 5. Renewables have grown… notenough to meet the 2020 targets Source: Eurostat (2020), Energy Statistics (database). 0% 5% 10% 15% 20% 25% 30% 35% 40% 45% 2010 2011 2012 2013 2014 2015 2016 2017 2018 2020 Electricity Transport Heating & cooling Overall renewable energy Progress towards 2020 renewable energy targets Ireland committed to nearly double the 2019 share of renewables in electricity production to 70% by 2030
- 6. Fossil fuels dominate theenergy mix Source: IEA (2020), IEA World Energy Statistics and Balances (database). Oil 47% Natural Gas 34% Coal 7% Renewables 11% Ireland 2019 OECD 2019 Oil 35% Natural Gas 29% Coal 14% Renewables 11% Nuclear 10% Ireland committed to phase out coal and peat power generation
- 7. Energy efficiency of newbuildings has improved …but home heating relies on carbon-intensive fossil fuels Residential Heating by Fuel 2018 PHOTO: Dry peat bricks Source: IEA (2020), IEA World Energy Statistics and Balances (database). 0% 20% 40% 60% 80% 100% Ireland Belgium Luxembourg Lithuania United Kingdom Finland Latvia Denmark Sweden Norway Estonia Netherlands OECD Europe OECD Coal Peat Oil Natural gas Biofuels and waste Other renewables Electricity Heat Ireland Belgium Luxembourg Lithuania United Kingdom Finland Latvia Denmark Sweden Norway Estonia Netherlands Coal Peat Oil Natural gas Biofuels and waste Other renewables Electricity Heat % Accelerate the phase-out of fossil fuel boilers Better target energy efficiency grants to deep retrofits and social housing
- 8. Air quality isgenerally good, localized pollution persists due to transport and domestic heating Source: OECD (2020), OECD Environment Statistics (database) Accelerate the extension of the ban on bituminous fuels towards a nationwide ban Expand the scope of the ban to other “smoky” fuels (peat and wet wood) 0 5 10 15 20 25 30 Finland Sweden Estonia New Zealand Iceland Norway Australia Canada United States Ireland Portugal Denmark Spain United Kingdom Switzerland Luxembourg Lithuania France Germany Netherlands Austria Latvia Belgium Japan Greece Italy Hungary Czech Republic Slovenia Slovak Republic Israel Mexico Colombia Poland Chile Korea µg/m3 Mean concentration of PM2.5 2019 WHO guideline
- 9. Municipal waste generationhas increased less municipal waste goes to landfills but recycling has stagnated PHOTO: Dublin Waste to Energy - Covanta incineration plant 0 10 20 30 40 50 60 70 80 0 500 1,000 1,500 2,000 2,500 3,000 3,500 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 EUR/t Mt Municipal waste treatment Recycling Composting Incineration (energy recovery) Other recovery Landfill Source: EPA (2020), National Waste Statistics -Report for 2018. 0 10 20 30 40 50 60 70 80 0 500 1,000 1,500 2,000 2,500 3,000 3,500 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 EUR/t Mt Municipal waste treatment Recycling Composting Incineration (energy recovery) Other recovery Landfill Implement the Waste Action Plan for the Circular Economy, including the foreseen levies Mandate waste service providers to set differentiated collection fees for unsorted, recyclable and organic waste Landfill tax rate
- 10. Water quality hasdeclined more groundwater bodies suffer from nitrate pollution 0% 20% 40% 60% 80% 100% 2007-09 2013-18 2007-09 2013-18 2007-09 2013-18 2007-09 2013-18 2007-09 2013-18 Rivers Lakes Transitional Coastal Groundwater Water quality status, % of water bodies Bad Poor Moderate Good Swiftly implement measures to address diffuse water pollution from nutrient losses High
- 11. Water supply andwastewater treatment infrastructure is ageing and needs to be upgraded Source: OECD (2020), OECD Environment Statistics (database) Accelerate investment in water infrastructure Re-consider introducing household water charges Ensure environmental compliance of independent wastewater treatment systems and small- scale water supplies 61% 0 10 20 30 40 50 60 70 80 90 100 % Percentage of population connected to at least secondary wastewater treatment 2017
- 12. The conservation statusof several habitats is of concern 0% 20% 40% 60% 80% 100% Habitats Species Assessments of conservation status of habitats and species % in each category Favourable Unknown Unfavourable-inadequate Unfavourable-bad Photo: Puffin in a natural habitat Source: EEA (2020), National Summary Dashboards -Habitats Directive Art. 17 (database);
- 13. Little progress madein extending the protected area network the quality of key habitats has deteriorated 2021 Marine and terrestrial protected areas Source: OECD (2020), OECD Environment Statistics (database) Expand marine protected areas Implement site- specific conservation measures Restore bog habitats 0 10 20 30 40 50 % EXCLUSIVE ECONOMIC ZONE 2% 14% 0 10 20 30 40 50 60 % TOTAL LAND
- 14. Half of thepublic investment of the COVID-19 recovery package was environment- and climate-related Source: OECD Secretariat based on Government of Ireland (2020), July Jobs Stimulus 2020, Department of the Taoiseach, Government of Ireland, Dublin; Department of Finance (2020), “July Stimulus” Policy Initiative: Overview of economic support measures, Department of Finance, Dublin. . Continue to prioritise investment in low-carbon transport infrastructure and energy efficiency, and to promote eco-innovation and reduction of the carbon footprint of agriculture Green Investment in Ireland’s COVID-19 Recovery Package EURO 250 million Energy Efficiency National Retrofit Programme Cycling Walking Peatland Restauration Water Infrastructure Rails
- 15. Ireland has steppedup public capital investment for the green, low-carbon transition … but needs to mobilise the private sector to cope with high investment needs Source: CSO (2020), “Environmental subsidies and similar transfers 2018”, StatBank (database). Environment-related transfers and subsidies, by domain 0 200 400 600 800 1,000 1,200 1,400 1,600 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 Others Air and climate Energy efficiency Renewable energy Biodiversity Wastewater 0 200 400 600 800 1,000 1,200 1,400 1,600 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 Others Air and climate Energy efficiency Renewable energy Biodiversity Wastewater EUR million
- 16. Government R&D outlaysfor environmental and energy research are insufficient Source: OECD Science, Technology and R&D Statistics (database). R&D budgets for energy and environment as percentage of total government R&D budgets, OECD countries 2019 0% 5% 10% 15% 20% 25%
- 17. Green technology patentsare low Note: Data refer to patent applications filed in the inventor's country of residence according to the priority date and apply solely to inventions of high potential commercial value for which protection has been sought in at least two jurisdictions. Environment-related technologies cover all the domains related to environmental management, water-related adaptation and climate change mitigation. Source: OECD (2020), "Patents", OECD Environment Statistics (database). Photo: Flexible solar cells from ruthenium. Ireland 5% OECD Europe, 11% OECD, 10% World, 9% 0 2 4 6 8 10 12 14 16 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 % Increase government spending on R&D related to environment and climate Extend direct funding instruments to encourage eco-innovation in SMEs
- 18. Average fuel excise tax Averageexplicit carbon tax Ireland raised the carbon tax to EUR 33.5/tCO2 and committed to bring it to EUR 100 by 2030 Source: Calculations of the OECD Centre for Tax Policy and Administration based on OECD (2019), Taxing Energy Use 2019: Using Taxes for Climate Action. EFFECTIVE TAX RATES on CO2 emissions OECD Europe 2018 and Ireland 2020 Gradually increase the diesel tax rate to match the petrol tax rate 0 50 100 150 200 250 300 EUR/tCO2 Road emissions
- 19. 0 5 10 15 20 25 30 35 40 45 50 Non-road emissions Ireland raisedthe carbon tax to EUR 33.5/tCO2 and committed to bring it to EUR 100 by 2030 EFFECTIVE TAX RATES on CO2 emissions OECD Europe 2018 and Ireland 2020 Maintain the commitment to progressively increase the carbon tax rate Source: Calculations of the OECD Centre for Tax Policy and Administration based on OECD (2019), Taxing Energy Use 2019: Using Taxes for Climate Action. Average fuel excise tax Average explicit carbon tax EUR/tCO2
- 20. Ireland has reducedfossil fuel subsidies it phased out support to peat-fired power generation in 2019 Source: OECD (2020), OECD Inventory of Support Measures for Fossil Fuels (database). 0 100 200 300 400 500 600 700 800 900 2011 2012 2013 2014 2015 2016 2017 2018 2019 EUR million Consumption support by fuel type Petroleum Coal Natural gas Develop a plan to phase out tax exemptions and rebates for fuel used in agriculture, fishery and road transport rebrand the fuel allowance and delink it from heating
- 21. Ireland’s mobility patternsand trends are a source of rising GHG emissions 0 20 40 60 80 100 120 140 160 180 2000=100 GNI and road transport trends Modified GNI, constant prices Passenger cars Bus, coaches GHG emissions by road transport Road freight Note: Based on data expressed in passenger-km and tonne-km. Modified GNI: Gross national income in constant prices, excluding highly mobile economic activities that affect the measurement of the Irish economy Source: CSO (2020), “National Income and Expenditure Annual Results 2019”, StatBank (database); EPA (2020), Ireland's Provisional Greenhouse Gas Emissions 1990-2019 (website); OECD-ITF (2020), Transport Statistics (database).
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- 23. Walk 13% Bus 5% Cycle 1% Rail/DART/Luas 2% Lorry/motorcycle/other 5% Private cars dominatemobility patterns One person journeys by mode 2019 Private car 74% 81.4% 0 20 40 60 80 100 Iceland Lithuania Turkey Slovenia Greece Estonia Ireland Latvia Portugal Norway % of passenger-km Passenger cars Buses and coaches Modal split of land passenger transport 2018
- 24. The public investmentgap between roads and sustainable mobility has narrowed, but roads still dominate 18% 27% 30% 28% 31% 28% 23% 32% 39% 37% 34% 36% 34% 34% 81% 72% 69% 71% 69% 68% 72% 63% 57% 58% 60% 60% 62% 62% 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 Sustainable mobility Road Note: Percentage shares of gross expenditure for land transport. Sustainable mobility includes carbon reduction and public service provision. Source: DPER (2020), "Gross Expenditure By Vote History" DPER Databank (database). Share of investment for road maintenance and sustainable mobility on total land transport funding
- 25. Ireland provides generoussubsidies to buy electric vehicles 0.2 0.8 0.2 1.2 2.6 3.0 4.3 9.1 13.6 0 500 1,000 1,500 2,000 2,500 3,000 3,500 4,000 0 2 4 6 8 10 12 14 2011 2012 2013 2014 2015 2016 2017 2018 2019 N. of EVs EUR millions Electric vehicle (EVs) purchase grant and new registrations Annual grant expenditure Total electric vehicles supported (right axis) Note: Grants from the Sustainable Energy Authority for the purchase of electric vehicles (2019 data up to July) and number of electric vehicles licensed for the first time. Source: CSO( 2020), "Vehicle Licensing Statistics", StatBank (database); Kevany (2019), Spending Review 2019: Incentives for personal Electric Vehicle purchase.