Transport report

Rolling out alternative fuels

The development and deployment of alternative fuels in Ireland is occurring within the context of several overlapping regulatory obligations, policy frameworks, and working group outputs.

Ireland is legally required to meet targets set out under the Alternative Fuels Infrastructure Regulation (AFIR), in effect since 13 April 2024. Article 14 of this regulation obliges EU member states to prepare and submit a national policy framework (NPF) outlining measures for the development of the alternative fuels market and related infrastructure. The updated Irish NPF is required to be submitted to the European Commission by 31 December 2025.

The Alternative Fuels for Transport Working Group was established in 2023 to assist in coordinating cross-departmental and inter-agency work related to transport decarbonisation via alternative fuels. The Working Group delivered its first report to the Minister for Transport in March 2025, fulfilling Action TR/24/3 under Climate Action Plan 2024.

Regulatory context and policy alignment

The AFIR sets binding targets for infrastructure development in EU member states. These targets include deployment of electric recharging infrastructure for light- and heavy-duty vehicles, hydrogen refuelling infrastructure, onshore electricity supply (OPS) in ports, and electricity supply to stationary aircraft. The Irish response to this regulation includes a revised NPF that builds on and replaces the existing 2017-2030 framework.

The Working Group has engaged in public consultations and submitted a draft of the updated NPF to the European Commission in December 2024, in line with Article 14. The NPF draft prioritises electrification and hydrogen infrastructure but notes the potential for inclusion of biomethane, advanced biofuels, and renewable synthetic fuels in the final version, pending further assessment and consultation.

Electric vehicle charging

AFIR requires Ireland to deploy sufficient charging infrastructure corresponding to the national electric vehicle (EV) fleet size. To meet Climate Action Plan targets for EVs by 2030, it is estimated that 712,395 kW of public charging capacity will be required. The National EV Charging Infrastructure Strategy 2022-2025 provides the baseline planning document for delivering this capacity.

For heavy-duty vehicles (HDVs), a separate public charging network on the TEN-T core network is planned, with spacing every 3km. This will be implemented via a dedicated HDV charging scheme administered by Transport Infrastructure Ireland (TII), to be developed in 2025.

Hydrogen refuelling

AFIR requires a minimum of five hydrogen refuelling stations in Ireland by 2030. These are planned to be located in Dublin, Cork, Limerick, Galway, with one additional TEN-T corridor site. Progress toward this requirement must be demonstrable by 2027. The Department of Transport has indicated that inclusion of hydrogen is necessary to meet both light and heavy-duty transport decarbonisation requirements.

Renewable transport fuels

The Renewable Transport Fuel Obligation (RTFO), implemented under Part 5A of the National Oil Reserves Agency Act 2007, mandates a rising share of renewable transport fuels in the road fuel mix. The RTFO rate is scheduled to reach 25 per cent in 2025, with a sub-target of 1.5 per cent for advanced biofuels. Consultations are underway for the 2025-2027 revision of the Renewable Transport Fuel Policy.

Two working groups support RTFO implementation:

  1. Biofuels Sustainability Working Group: Conducted vulnerability assessments regarding fraud risks, including analysis of feedstock traceability, union database functionality, and EU regulatory compliance. Outputs aim to inform legal and administrative adjustments.
  2. RES-T Working Group: Supports modelling and research aligned with RED II targets for 2030. Ongoing work includes assessment of supply-demand dynamics for advanced biofuels and RFNBOs, including phases of modelling by Byrne Ó Cléirigh Ltd.

Future work will assess B30 blending feasibility, potential extension of RTFO to Non-Road Mobile Machinery (NRMM), and alignment of RTFO with the Renewable Heating Obligation (RHO) due in 2026.

Road freight decarbonisation

Road freight is predominantly diesel-fuelled and presents significant decarbonisation challenges. EU emission standards for HDVs require 45 per cent reduction by 2030, 65 per cent by 2035, and 90 per cent by 2040.

ZEVI has initiated fleet audit schemes and infrastructure support programmes. The DRIFT-HDV study, submitted in 2024, highlights cost-related adoption barriers and recommends operational expenditure-based incentives.

Next steps

The Alternative Fuels Working Group recommends continuation of its current remit through 2025, with updates to its terms of reference. Key priorities include:

  • finalising the NPF in consultation with stakeholders and the European Commission;
  • completing sector-specific studies in maritime and road freight;
  • developing a hierarchy for renewable fuel use across sectors; and
  • supporting integration of CAP26 corrective actions.

A year-end report to the Minister is expected to be sent at the beginning of 2026, along with monitoring of aligned actions.

Speaking in the Dáil in February 2025, Minister for Transport Darragh O’Brien TD said: “Regarding alternative fuels and biomethane in particular, and alternative energy sources, I see [biomethane] as having a particular fit in that regard.” However, O’Brien said he would “not commit to a figure” on capital expenditure on biomethane as an alternative fuel “because further discussions need to take place”.

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