Energy storage in Ireland

Energy storage in Ireland

Current regulatory developments

Updated September 2026

Current Regulations Icon

Grid congestion (1.2 GW live from 10 GW pipeline)

Current Regulations Icon

€3.5 billion grid investment (2026–2030)

Current Regulations Icon

Transition from DS3 to FASS

Current Regulations Icon

Long-duration energy storage procurement policy

Current Regulations Icon

Scheduling and Dispatch Programme (late 2025)

Five things to know about BESS in Ireland.

Battery Icon

Battery storage is subject to a dedicated regulatory framework, with a licensing threshold of 1 MW. In Ireland, battery storage is regulated under section 14 of the Electricity Regulation Act 1999. A license is required for battery storage facilities with an installed capacity of 1 MW or more, while facilities below that threshold are exempt from the licensing requirement. The Government has identified battery storage as an important sector in Ireland's energy transition. This is reflected in the publication of the Electricity Storage Policy Framework, (ESPF) in July 2024, which reviews the regulatory treatment of storage (licensing, charging, and market incentives).

Graph Icon

Revenue is structured around system services, capacity, and wholesale markets, with a major regime change underway. Revenue streams include participation in the DS3 system services regime (operating reserve, frequency response, and ramping services), Capacity Market auctions, and wholesale markets (day-ahead, intraday, and balancing). Regulators are currently replacing the DS3 regime with the Future Arrangements for System Services (FASS), which is expected to deliver clearer price signals and more sophisticated revenue stacking opportunities across capacity, system services, and arbitrage. The Scheduling and Dispatch Programme introduced in late 2025 has already improved wholesale market participation.

Power Grid Icon

Grid constraints remain a significant challenge to the deployment of battery storage in Ireland. Only approximately 1.2 GW of BESS is operational from a pipeline exceeding 10 GW, placing Ireland among the most constrained BESS markets in Europe. Grid connection costs, connection waiting times, and grid policy restricting the ability to import and export at certain times are the principal barriers. To address this, the Government has approved a €3.5 billion equity investment in Ireland’s electricity infrastructure between 2026 and 2030, while EirGrid continues to progress network reinforcement projects under PR6 and the Shaping Our Electricity Future program.

The RESS auction framework provides a subsidy pathway, while long-duration procurement is emerging. The Renewable Electricity Support Scheme (RESS) provides support to eligible renewable electricity projects through competitive auctions. However, standalone battery storage projects are not currently eligible for support under RESS 5, although storage may participate where it forms part of an eligible hybrid renewable generation project. The terms and conditions for RESS 6 are expected to provide further clarity on the treatment of hybrid projects and storage participation. Further, the Microgeneration Scheme allows domestic customers with battery storage linked to a registered microgeneration device to obtain payments under the Clean Export Guarantee. In addition, the Government's ESPF recognizes the importance of long-duration storage and sets out a pathway for the future development of electricity storage policy and procurement arrangements in Ireland.

Planning permission and supply chain constraints add further friction. Planning permission delays, supply chain concerns (including reliance on raw materials), and the transition between system service regimes create uncertainty for project timelines. However, the planning landscape is evolving. The Planning and Development Act 2024 provides for an overhauled consenting regime, while the European Union (Planning and Development) (Renewable Energy) Regulations 2025 (SI 274 of 2025) have introduced mandatory decision timelines and a statutory presumption that renewable energy plants and related storage assets are in the overriding public interest.

Credentials

Investor on its joint venture agreement with a developer to build out over 1 GW of battery storage and co-located storage and Solar PV assets in Northern Ireland and Republic of Ireland to ready to build status

a developer (as Irish counsel) on the construction and financing of the largest battery storage project constructed in Ireland

Statkraft on the acquisition of the in-development Kelwin battery storage project in County Kerry

Pure DC on the development of an onsite battery storage project

Sustainable Development Capital Limited in relation to the establishment of their 37.5 MW Rhode Energy Storage project in County Offaly

Energia on the acquisition of the early stage Bracklyn wind farm and energy storage project

Bord na Móna on the procurement and construction of the 30 MW Cloncreen Battery Storage project

Green Fractal Background
“Eversheds Sutherland advises on the construction, development and financing of energy projects, as well as on corporate and asset transactions in the sector. The team is particularly active in the renewable energy sphere. The department has notable strength in cross-border projects thanks to the firm's global network.” Chambers Ireland

Explore other key BESS markets


UK

Germany

Netherlands

Ireland

Finland

Hungary

Italy

Poland

Portugal

Romania

Spain

Sweden

US

Chile

UAE

China

© Eversheds Sutherland. All rights reserved. Eversheds Sutherland is a global provider of legal and other services operating through various separate and distinct legal entities. Eversheds Sutherland is the name and brand under which the members of Eversheds Sutherland Limited (Eversheds Sutherland (International) LLP and Eversheds Sutherland (US) LLP) and their respective controlled, managed and affiliated firms and the members of Eversheds Sutherland (Europe) Limited (each an "Eversheds Sutherland Entity" and together the "Eversheds Sutherland Entities") provide legal or other services to clients around the world. Eversheds Sutherland Entities are constituted and regulated in accordance with relevant local regulatory and legal requirements and operate in accordance with their locally registered names. The use of the name Eversheds Sutherland, is for description purposes only and does not imply that the Eversheds Sutherland Entities are in a partnership or are part of a global LLP. The responsibility for the provision of services to the client is defined in the terms of engagement between the instructed firm and the client.

Connect with us

linkedin logo
facebook icon
youtube icon