Green Economy in Q3 2024

Full Steam Ahead…..

The third quarter of 2024 will see significant advancements and activities within Ireland’s green economy. This period is characterized by economic stability, focused climate policies, and robust employment trends in the green sector.

Economic Context 

Growth and Employment: Ireland’s economy continues its moderate growth with GDP expected to increase by around 2.2% for the year. In Q3, the focus has been on sustaining this growth amid global uncertainties. Employment in green sectors has been a highlight, with jobs in renewable energy, waste management, and sustainable agriculture showing marked increases (EY US) (ESRI). The unemployment rate has remained stable at approximately 4.3%, reflecting a tight labor market and ongoing demand for skilled workers in emerging green industries (ESRI).

Climate Action and Policy Implementation

Climate Action Plan 2024: During Q3, the Irish government has actively pursued the targets set out in the Climate Action Plan 2024. Key actions include:

1. Sectoral Emissions Targets: Continued efforts to meet sectoral emissions ceilings, particularly in energy and transportation, have been evident. The government has introduced new regulations and incentives to accelerate the adoption of electric vehicles and increase the share of renewable energy in the national grid (Search for services or information).
2. Public Engagement Initiatives: Significant public engagement campaigns have been launched to promote sustainable practices among businesses and households. Workshops, seminars, and educational programs are being conducted nationwide to raise awareness and encourage community participation in climate action (Climate Action Plan 2024).

 

Renewable Energy Expansion 

Investments and Infrastructure: The second quarter has seen several key developments in renewable energy:

1. Solar and Wind Projects: New solar farms and wind projects have been commissioned, with ongoing construction and operational expansions. These projects are part of Ireland’s strategy to meet its 2030 renewable energy targets (KPMG).
2. Grid Enhancements: Efforts to upgrade the national grid have intensified to accommodate increased renewable energy production. This includes the implementation of smart grid technologies to enhance efficiency and reliability (KPMG).
3. Community and Public Support: Public support remains strong, with recent surveys indicating high levels of approval for renewable energy projects. Community engagement activities have focused on highlighting the benefits of local renewable energy projects, including job creation and reduced energy costs (KPMG).

Key Developments:

• RESS Auctions: The latest round of the Renewable Electricity Support Scheme (RESS) auctions in Q3 has attracted substantial investments, providing a boost to the renewable energy sector (KPMG).
• Offshore Renewable Energy: Progress on offshore wind projects has been notable, with new licenses issued and environmental impact assessments underway (KPMG).

 

Circular Economy Initiatives

Ireland’s circular economy initiatives will gain momentum in Q3:

1. Recycling and Waste Reduction: New regulations have been implemented to enhance recycling rates and reduce waste. Businesses are being incentivized to adopt circular practices, such as using recycled materials and minimizing waste generation (OECD).
2. Resource Efficiency Programs: Several new programs aimed at improving resource efficiency in manufacturing and other sectors have been launched. These programs focus on reducing the environmental footprint and promoting sustainable resource use (OECD).

 

Employment and Hiring Trends

The green economy will be a significant driver of employment in Q3:

1. Job Creation: There has been a noticeable increase in job creation within the green sector. Roles in renewable energy, environmental consultancy, and sustainable construction are particularly in demand (Search for services or information) (OECD).
2. Skills Development: Training programs and educational initiatives aimed at equipping workers with green skills have expanded. These programs are crucial in preparing the workforce for the growing demand in green jobs (Search for services or information).
3. Government Support: The Irish government has introduced several initiatives to support employment in the green sector. These include grants, tax incentives, and funding for green startups and businesses focused on sustainability (Search for services or information) (OECD).

 

Challenges and Opportunities

Despite positive developments, challenges persist:

• Geopolitical Risks: The dependency on imported energy continues to pose risks. The government is working on diversifying energy sources and increasing domestic production to mitigate these risks (KPMG).
• Infrastructure Needs: Ongoing infrastructure upgrades are essential to support the growing renewable energy sector. This includes enhancing grid capacity and implementing new technologies (KPMG).
• Public and Consumer Engagement: Sustained efforts are needed to ensure public support and participation in green initiatives. Effective communication and incentives are critical to maintaining momentum (KPMG) (Search for services or information).
• Talent Needs: Ongoing need to hire and retain key staff often resulting in longer hiring lead times, remuneration reviews and increased onboarding time.

 

Conclusion

Q3 2024 will likely be another active period for Ireland’s green economy, characterized by steady economic growth, proactive climate policies, and robust employment trends in green sectors. Continued investment in renewable energy, infrastructure upgrades, and public engagement. One of the major challenges is in hiring and retaining key technical and leadership talent.