Ireland losing ground to US and Europe, IDA warns
The
IDA
said Ireland was losing ground to other EU countries and the United States because of the high cost of energy.
In a series of briefings for the Government, the investment agency said strong security of power supply was 'imperative' for enticing companies into Ireland.
It said the operating environment for foreign direct investment was becoming more difficult, more aggressive, and with a 'relentless focus on competitiveness.'
The IDA briefing said that traditional drivers of investment like market access, tax, and talent were still important.
READ MORE
[
IDA chief plays down threat to Ireland from Trump's tax move
Opens in new window
]
However, it added: 'New drivers such as digital/green, subsidies/incentives, and friendly nation status make the environment more complex.
'Adding to the challenge for IDA in sustaining/winning investments are constraints to the carrying capacity of Ireland's economy and utilities - which are causing significant delay, backlogs and reputation risks to winning new investments.'
The briefings were prepared last summer for the Department of the Environment as the investment agency warned Ireland's financial position was heavily dependent on foreign direct investment (FDI).
They said any reduction in FDI would lead to a significant reduction in tax revenues.
It said energy prices needed to decrease and become much more competitive as Ireland looked to attract in semiconductor and life sciences investment.
One briefing said: 'Ireland is not sufficiently competitive with most other EU locations or the US.'
It said a significant increase in electricity supply was urgently needed to meet a sizable growth in demand from data centres, and other sectors.
A separate briefing said uncertainty over connections to the national grid for data centres was 'of concern.'
It said: 'With respect to overall energy connection policy, there needs to be a transitional period for data centres (and enterprise in general) to achieve decarbonisation and net zero.'
The briefing said the government should look to tap into the expertise of data centre operators around opportunities for innovation.
The IDA also said there was a risk to Ireland's offshore renewable energy industry which was 'underpinned by the large data centre demand and potential demand.'
It added: 'A slowdown or cessation in data centre investment could adversely affect the economics for offshore wind developers, which in turn could impact the country's ambition and targets in renewable energy development and climate action.'
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Irish Times
19 minutes ago
- Irish Times
Five children among 35 people deported to Nigeria on chartered flight
Five children were among a group of 35 people deported to Nigeria on a chartered flight from Dublin Airport on Wednesday. The Garda National Immigration Bureau carried out the operation, which involved 21 men, nine women and five children. The children involved were deported as part of family groups. An Garda Síochána said in a statement it 'continues to work closely with the Department of Justice in implementing immigration policy'. Deportation flights from Ireland resumed in February with the removal of 32 people on a chartered flight to Georgia at a cost of €102,476. READ MORE That was the first deportation operation carried out under a contract signed by the State last November for the provision of charter aircraft, with the Department of Justice saying the services have 'significantly increased' the capacity of An Garda Síochána to effect removals. A further 39 were deported to Tbilisi in May . [ Explainer: What is the purpose of deportation flights out of Ireland? Opens in new window ] Minister for Justice Jim O'Callaghan said at the time of February's flight: "'If you're seeking asylum and you're not entitled to asylum, don't come to Ireland.'
Irish Times
an hour ago
- Irish Times
Deliveroo tests drone deliveries with Manna partnership
Food delivery company Deliveroo has teamed up with Irish drone operator Manna to bring drone deliveries to customers in Dublin. The company will use the drones alongside the existing rider delivery network, with a pilot phase to test demand. The service will be available in Blanchardstown, Dublin 15, where Manna already operate its drone deliveries. Deliveroo branded drones will deliver food to customers in as little as three minutes. The company is hoping to better serve harder to reach areas with the drones, bypassing road traffic and speeding up deliveries. Among the restaurants that will take part in the initial phase are Musashi, WOWBurger, Boojum and Elephant & Castle. The plan is to include more restaurants and roll out launch grocery and retail deliveries within the next six months. READ MORE 'Our mission is to bring local neighbourhood favourites to as many people's doors as possible, and constantly raise the bar on the experience and service we provide - so –'m thrilled to launch drone deliveries in Dublin today,' said Carlo Mocci, chief business officer at Deliveroo. 'We're excited to explore how drones can help us reach new customers, complementing our existing rider model and if successful, the prospect of expanding drone deliveries across Ireland and into other markets.' Founded in 2018 by entrepreneur Bobby Healy, Manna has developed aviation-grade drones that fly at 80km/h and deliver goods including groceries, takeaways and medicines. The drones can deliver orders quickly within a 3km radius of the hub, reducing congestion on roads and cutting carbon emissions associated with delivery vehicles. A single aircraft can do 100 deliveries a day, with up to 20 aircraft capable of being remotely managed by one Manna employee. To date, Manna has carried out more than 170,000 flights. 'Air delivery is fast, clean, and safe, offering a new avenue for local businesses to reach more consumer,' said Mr Healy. 'Manna Air Delivery is proud to partner with Deliveroo, a platform trusted by top local restaurants and eateries, to bring this innovative delivery experience to customers.' Manna currently operates in the Dublin 15 area, having previously run trials in Balbriggan and Galway. It is also seeking planning permission for a new hub in Tallaght, and plans to open others along the M50 and further afield. However, drone deliveries have come up against local opposition, with residents raising concerns about noise levels from the drones and privacy. Manna drones are equipped with cameras that are activated only when the drone arrives at its delivery location and hovers 14m above the ground, to ensure that the delivery area is free from obstacles. Manna says it received about 80 complaints, while Fingal County Council received 25 between January 2024 and 2025, with 18 mainly regarding noise.
The Irish Sun
an hour ago
- The Irish Sun
Three Premier League clubs monitoring Dara O'Shea as Ipswich Town chairman acknowledges relegation reality
DARA O'SHEA is in line for a quick return to the Premier League - but Ipswich Town have insisted they are not under pressure to sell. O'Shea was acknowledged as having an impressive first season at Portman Road, despite the club making an immediate return to the Championship. 2 He and Nathan Collins are established as Ireland's first-choice paring in central defence 2 The pacy 26-year-old has proven he's good enough for the Premier League Credit: Reuters That was reflected in him being named as the club's Player of the Year, ahead of Ireland-eligible, SunSport understands that his former club Burnley, Wolves and Leeds United are all weighing up a move for O'Shea, who is set to start for Ireland against Senegal tomorrow. Ipswich beat off competition from Wolves and Brentford to sign the Dubliner from the Clarets last summer. The Bees signed Dutch defender Sepp Van der Berg but it is believed Wolves are ready to renew their interest, along with newly-promoted duo Burnley and Leeds. Read More On Irish Football Ipswich paid an initial £12m for the ex-St Kevin's Boys player last August with not all of the £3m add-ons realised because of their failure to dodge the drop. The Tractor Boys will rake in £30m - the relegation clause in his contract - from the sale of Delap. The 26-year-old is one of their most valuable assets with Ireland boss Heimir Hallgrímsson suggesting he would not be short of offers in the close-season. But Ipswich chairman Mark Ashton insisted there will not be an exodus from the club. Most read in Football Ashton said: 'We're not into fire sales. We haven't got to sell a multitude of players, but one or two players will be traded out to give ourselves that headroom and the ability to move forward. 'I think it's important fans understand that one of the challenges you've got when you come down is you've got to retain, because we're going to have suitors for players. Watch Robbie Brady aim hilarious dig at Ireland teammates after winning Player of the Year award 'So as much as you've got to recruit you've got to retain, you've got to work hard to make sure you've got those players locked down.' Meanwhile, Robbie Brady Brady beat off competition from Caoimhín Kelleher and Nathan Collins to collect the award which he previously won in 2016. In a video posted by the FAI from the team meeting room, Brady said: 'I didn't expect to win it. It shows how s***e youse have all been if I'm winning this!' 'I was obviously out of camp for a while and I was delighted to get myself back in. "I'm buzzing with this so thanks for everything and helping me pick this up.' Brady, 33, won just three caps between March 2021 and March 2024 but has started 10 out of Ireland's last 12 games, missing two with an ankle injury. He chipped in with a goal and an assist in the 2-1 win in Finland last October, Hallgrímsson's first victory as manager.
