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Ireland’s Environment 2012
108
has already achieved significant
efficiency gains, namely a 50%
reduction in the primary energy
requirement per value of output
between 1990 and 2010, the
new policy target will be a major
challenge.
A number of schemes to improve
energy efficiency in recent years have
had varying success. An initiative
aimed at large energy users, the
Large Industry Energy Network
(LIEN), reported a 5.2% energy
efficiency gain in 2008 (SEAI, 2009a).
On the residential side the ‘Home
Energy Saving’ scheme operated
by SEAI was a success, with over
135,000 energy efficiency grants
paid. The value of energy cost
savings are anticipated to average at
€450 per annum per participating
home with an estimate of total
emissions avoided at 2.4 million
tonnes of CO
2
(SEAI, 2011a).
With high fossil fuel prices in
recent years, there is evidence that
households and businesses are
switching to more cost-efficient (and
carbon-efficient) energy sources
(Cahill and Ó Gallachóir, 2011; Leahy
and Tol, 2011). In 2011 the Better
Energy programme was launched to
supersede existing residential energy
retrofitting subsidy programmes.
The carbon tax, introduced in 2009,
is a policy instrument specifically
designed to encourage and
accelerate fuel switching away from
carbon-intensive fuels, and was
increased to €20/tonne in Budget
2012. However, two of the most
carbon polluting fuels, peat and coal,
continue to be exempt from this tax.
Improving energy efficiency is
a difficult policy challenge. The
empirical evidence suggests that
financial incentives work, though
programmes need to be closely
monitored to ensure that they are
cost-effective. At present there are
a number of incentive schemes
but the most effective incentive to
improve energy efficiency may be the
combination of carbon tax and high
fuel prices. Public education about
energy efficiency is also a necessary
element to change behaviour.
There is evidence that people utilise
energy efficiency information in
their decisions, with Alberini et al.
(2012) finding that house buyers and
renters utilise Building Energy Ratings
(BER) and are willing to pay more
for facilities with greater energy
efficiency.
Sustainable Transport
Transport accounts for almost one-
fifth of total GHG emissions and is
an emission source that will require
major action if Ireland is to meet its
2020 emissions obligations. Between
1990 and 2007, transport emissions
grew considerably, with emissions
in 2007 137% higher than in 1990.
However, since 2007 transport
emissions have decreased by 20%
– due largely to the economic
downturn and changes to the vehicle
registration and road taxes. Given
the strong relationship between
growth in transport emissions
and the economy, it is reasonable
to assume that as the economy
recovers, transport emissions will
increase without sustained policy
action and further intervention.
Sustainable transport is central to
efforts to control GHG emissions,
air pollution and environmental
damage. The benefits of sustainable
transport, however, extend beyond
environmental considerations,
delivering improvements in
congestion, productivity, health
and quality of life. Sustainable
transport is central to European
transport policy (EC, 2011b)
and is in line with EU flagship
initiatives on resource efficiency
and energy efficiency. Transport is
also an integral component of the
proposed framework for sustainable
development (DECLG, 2011).
Nationally, the Government’s policy
approach to sustainable transport
is set out in ‘Smarter Travel – a
Sustainable Transport Future’,
which aims at reversing current
unsustainable transport and travel
patterns. Key goals of the strategy
include improving economic
competitiveness through maximising
the efficiency of the transport
system; alleviating congestion
and infrastructural bottlenecks;
minimising the negative impacts of
transport on the local and global
environments; reducing overall
travel demand and commuting