According to a March 2022 report on energy security from the National Competitiveness and Productivity Council (NCPC), Ireland has among the highest rates of dependency on imported sources of energy in Europe.
Ireland’s import dependency in the area of energy provision was above 70% in 2020, which was the eighth highest in the EU and well above the EU average of 57%.
According to Dr. Ruane, Chair of the National Competitiveness and Productivity Council (NCPC) “The current crisis in Ukraine has accelerated energy price inflation, with natural gas and oil prices rising to near-record levels. As a small open economy, Ireland is acutely exposed to these cost increases and to energy supply challenges.”
The Council has called for an urgent focus on energy projects to help diversify supply sources, as well as investing in upgrading the country’s electricity infrastructure. Recent energy price increases have put the spotlight on the vulnerability of the sector to price shocks that are outside of the control of industry and consumers.