Out-Law News 2 min. read
Ireland could offer longer contracts for renewables projects. Photo: Getty Images
09 Feb 2026, 4:23 pm
Ireland could offer a longer contract to providers of new renewable power capacity under proposals to change the terms for the next iteration of its renewable energy support scheme (RESS).
The country’s Department of Climate, Energy and the Environment (DCEE) has opened a consultation on changes to the terms and conditions for the sixth round of the support scheme (RESS 6), ahead of plans to launch the auction next year.
The consultation comes alongside the separate introduction of new bidding criteria under the Net Zero Industry Act (NZIA) – this requires prospective RESS 6 bidders to demonstrate and comply with green business and cybersecurity credentials in order to be eligible to participate in RESS 6 and subsequent auctions.
Among the proposals being consulted on is a possible change in the duration of the contracts for difference offered with either a five year increase to 20 years, or shortening it to 10 years being considered to see whether that would have a positive impact on bid prices at the auction.
The RESS 6 consultation is also looking at changes to the community benefit fund, introducing a mandatory minimum contribution of EU2/MWh of deemed energy output rather than actual metered output, and increasing the onshore capacity requirements from 35% to 45% for wind and from 11% to 14% for solar.
The DCEE is also considering extending the adjustment period for projects which experiencing system operator issues or judicial review can claim as a ‘relief event’ from two to three years, and extending the market price reference period to align with European Commission guidance.
DCEE is also looking for further consultation on exempting smaller projects from the enhanced requirements of the NZIA. It follows recent work on the implementation of Article 26 of the act - which covers the need for projects to demonstrate their responsible business conduct, ability to deliver and cybersecurity precautions, along with either resilience and either sustainability, innovation or energy system integration plans. Without demonstrating these, projects would not qualify.
Other areas being consulted on include repowering project involvement, and the nature of the auction pots.
A prior consultation by the Irish government suggested that there would be little advantage to exempting small projects - those under 10MW - from the new requirements or providing an alternative support mechanism.
Shani Stallard, an energy industry expert with Pinsent Masons in Dublin, said any exemption could not be delivered within RESS and would require a separate support scheme.
She added: “The proposed RESS 6 terms look like a broadly positive evolution of the scheme, particularly in how they build on lessons from RESS 5 and start aligning with emerging EU requirements - in particular the proposed change to support duration and how this might have an impact on bid prices and ultimate costs to the consumer.
“Moreover, the consultation is a significant statement from DCEE that RESS is seen as a flexible responsive scheme – Ireland needs to ensure its renewables industry remains competitive, capable of delivering new capacity at the right price for the taxpayer and industry.
“While the direction of travel appears constructive, the practical impact will depend on how some of the NZIA‑related measures in particular are ultimately implemented.
The consultation runs until 13 March 2026, with the RESS6 auction expected in the second half of the year.
Co-written by Peter Watts of Pinsent Masons