Abstract
This article focuses on the acute policy challenges and interventions that are needed in the energy sector to address the uneven distribution of the cost and benefits of the energy transition for women, low-income groups, older people and rural communities, ensuring a more equitable and inclusive transition process in Ireland.
The research reported here is from the REDIE project, ‘Realising Equality, Diversity and Inclusion for Energy sector transformations’. REDIE has been funded by the Sustainable Energy Authority of Ireland under the SEAI Research, Development & Demonstration Funding Programme 2022, Grant number 22/RDD/834.
Introduction
The global shift from fossil fuel production, distribution and consumption to cleaner and more sustainable energy systems present significant challenges for marginalised groups to participate in and benefit from this energy transition. Key barriers include limited access to affordable and sustainable energy solutions, such as home retrofitting or electric vehicles (Sovacool et al., 2022; Ó Maonaigh, 2023), to industrial restructuring (Mueller and Brooks, 2020), and wider disparities in participation where marginalised groups face multiple impediments to effectively engage with local renewable energy development (Stephens, 2020; Johnson et al., 2020).
To ensure a successful and equitable energy transition in Ireland, it is essential that policymakers take these challenges into account and actively incorporate marginalised experiences into decision-making processes. By doing so, Ireland can create policies that promote decarbonisation initiatives and wider climate objectives, while ensuring that the benefits of the transition are distributed fairly and that ‘no one is left behind’.
In this paper, we examine gender, low-income groups, older people, and rural communities in the context of their diverse capabilities and experiences that may cause or perpetuate their marginalisation within the Irish energy transition. We then provide a series of actionable recommendations that aim to directly target and remediate the uneven distribution of the costs and benefits of the energy transition and promote an inclusionary approach to Ireland’s just transition policy agenda.
2. Marginalised Groups in the Energy Transition
Marginality as a concept in the social sciences and humanities is used to convey and measure multifaceted inequalities experienced by specific demographics of society who are socially and structurally excluded from economic, political, cultural and social opportunities and participation (Varghese and Kumar, 2022). In the context of the energy transition, identifying and incorporating marginalised experiences into the transition process is essential to create just and participatory transition pathways for individuals and groups who are the most vulnerable to exclusion from mainstream opportunities and processes, and who disproportionately bear the costs of decarbonisation.
2.1 Gender
Understanding that there are gendered dynamics to Ireland’s energy transition is crucial for ensuring an inclusive shift to low-carbon energy systems. Women and men experience different challenges and opportunities in the energy transition, due to structural and societal norms that influence distinct gender roles in households, communities, and the labour market.
Energy use and access are gendered in nature, resulting in significant challenges for women to participate in the energy transition. This unequal access and availability of energy, including clean energy, is recognised in international energy policy, as noted in one study commissioned by the European Parliament “…although on paper it appears that all EU citizens have access to the energy services and electricity services … this does not mean that EU citizen experience energy access in an equal way” (Mang-Benza 2021, quoting Clancy and Feenstra, 2019, p.10). Women are especially vulnerable to the effects of the energy transition, as female-headed households are significantly more likely to experience energy poverty and have fewer financial means to invest in clean technologies (Oosthuizen et al., 2020; Pearl-Martinez, 2020). In addition, women face more challenges participating in renewable energy cooperatives or other citizen-led clean energy schemes, due to barriers such as time poverty and the double burden of work and domestic duties (Łapniewska, 2019).
Despite labour shortages and the high volume of employment opportunities in the international renewable energy sector, women represent only a third of its workforce and hold less than 12% of senior leadership roles (Allison et al., 2019). Education and skills in technical areas are significant barriers to women’s entry and progression into the renewable workforce (Baruah and Gaudet, 2022). Furthermore, the cost of childcare and the associated societal demands on women to shoulder the responsibility of care and domestic work are major limitations to the inclusion of women in the energy sector workforce (Cohn and Duncanson, 2023). Other forms of participation, such as public consultations within the energy sector, are often ‘gender blind’ (Mang-Benza, 2021), as their underlying assumptions do not account for time poverty, means of transport and caring duties than can unintentionally exclude women by design. Women’s experiences, agency, and vulnerabilities in the energy transition are therefore distinct and warrant considerate treatment in terms of policy.
2.2. Low-Income Groups
The energy transition perpetuates issues faced by low-income groups, who are highly vulnerable to experiencing energy poverty. ‘Energy poverty’, as a concept, can overlap with deprivation or other forms of poverty and has been defined in Ireland as the inability to achieve standard thermal warmth and energy services within a household at an affordable cost, dependent on household income, a dwelling’s energy efficiency levels, and the cost of household energy (Dingley, 2023). Rising energy costs have increased the number of households in energy poverty in Ireland to 29% (Barrett et al., 2022). Low-income groups encounter significant barriers to accessing energy-efficient resources and renewable energy technologies because of the high costs that must be paid upfront, and long payback periods.
Energy inefficiency is a key issue for low-income groups, who often live in older dwellings or less-energy efficient homes (Bennear, 2022; Goldstein et al., 2022; Willand and Horne, 2018). This causes low-income households to consume more energy to heat their homes, despite precarious financial situations.
Despite the availability of grants, initiatives to improve energy efficiency, particularly through distributed energy resources (DERs), including residential solar, are often cost prohibitive as grants may not sufficiently cover total costs. As a result, low-income households and community groups may need to apply for loans to install these resources and this can lead to debt and substantial financial burdens. In addition, targeted energy efficiency retrofitting schemes for low-income groups may still exclude some low-income or disadvantaged groups, such as Irish Travellers, if they live in mobile homes, caravans or other associated types of accommodation.
2.3 Older People
Older people are a particularly vulnerable demographic to changing energy practices and policies, due to their unique socio-economic and health-related situations. As an example, older individuals typically need higher than average room temperatures to reach thermal comfort or may require the use of around-the-clock medical devices that consume significant amounts of household electricity (Bredvold and Inderberg, 2022; Walker and Day, 2012). However, as disposable household income tends to reduce with age, they have fewer financial means to cover the expenses of higher and more essential energy use. This can lead to energy poverty as older people tend to be “rich in assets but poor in income” (Willand and Horne, 2018, p. 63).
Issues of income inequality are further compounded when gender is considered. For instance, the gender pension gap in Ireland between retired men and women is 35% (Nolan et al., 2019). Reduced income is further exacerbated by a lower level of savings among older people. The median value of cash savings is approximately €8,100 for single older adults and €18,100 for couples in Ireland (Murphy and O’Connor, 2023, p. 48). Consequently, home energy efficiency improvements, such as residential solar or retrofitting, are often difficult to access. In addition, the payback of DERs such as residential solar may take decades to be realised, making this another key challenge for older groups to participate in the transition to clean energy.
2.4 Rural Residents
Despite hosting much of Ireland’s renewable energy infrastructure, residents in rural areas are confronted with numerous barriers in accessing renewable energy technologies, economic opportunities, and decision-making power. These challenges can marginalise communities and should be central considerations within policy design, given that 31.4% of Ireland’s population reside in rural areas (CSO, 2019).
Rural households can have comparatively lower incomes regionally, as large income disparities remain between rural Border and Midland areas and Dublin-centric areas in the East of the country (Walsh, 2023). This creates financial barriers to renewable technologies. Furthermore, rural communities typically face greater challenges in terms of access to the grid and other supporting infrastructures, such as charging points for electric vehicles (EVs) (Sovacool et al., 2022; Ó Maonaigh, 2023).
Employment demands of the renewable energy transition can offer economic opportunities to people living in rural areas, but several challenges remain including the concentration of sectoral enterprises in large cities and surrounding areas, lack of infrastructure, and supply of labour and housing (Walsh, 2022; Taylor, 2023; Tsoeu-Ntokoane, 2022). These issues highlight a growing rural-urban divide, meaning that policymaking on the energy transition should carefully consider spatial dimensions.
3. Challenges to a Just Transition in Ireland
There are several administrative, economic, and institutional challenges to creating a just transition pathway for Ireland. Three standout challenges are: i) bureaucratic and accessibility issues to grant and subsidy schemes, ii) governance and clean energy production inefficiencies at local levels, and, iii) labour market shortcomings
(i) Grant and Subsidies
The process for applying for grants and subsidies is highly administrative and typically assumes access to the internet accompanied with appropriate levels of digital literacy, which therefore excludes many individuals. In Ireland, approximately 15% of those aged 60-74 and 45% of those over 75 years do not regularly use the internet (CSO, 2022). In addition, roughly 1 in 5 people in Ireland do not have basic digital skills (EU, 2024). To help make grants and subsidies more accessible, the application process should be simplified, along with face-to-face support and other provisions for those excluded from digital resources.
The option of applying for grants and subsidies for those living in rented accommodation is limited, as renters must liaise with landlords for home energy efficiency improvements or upgrades to renewable energy technology (Gillingham et al., 2012).). This becomes a more pressing challenge in the context of renters who are living in energy poverty and could benefit most from these types of home improvements (Keady et al., 2021; Luke, 2021).
A further challenge is that the value of grants does not cover the total costs of home improvements or necessary technology adoption. This acts as both a practical financial barrier for marginalised groups and a deterrent for those who may have the means to access a grant or subsidy but perceive a lack of monetary value in terms of the total cost (Reddy, 2020; Trotta, 2018).
(ii) Public and Community Benefits
Clean energy production and governance at the local level are recognised as crucial components of the energy transition. The European Commission estimates that around 17% of installed wind and 21% of solar capacity could be owned by local energy communities by 2030 (Caramizaru and Uihlein, 2020). In Ireland, this is also a policy priority, as the Irish Government intends to double the number of Sustainable Energy Communities to 1,500 by 2030 (Government of Ireland, 2021; SEAI, 2024).
However, there are currently wide disparities between the potential opportunities for local energy production and governance and the perceived benefits to local communities, which energy policies must address. In a study on wind energy projects in Ireland, it was noted that while local residents “…bear the brunt of the external costs, most of the benefits would not be felt in Ireland […] but instead be distributed further afield to wind farm operators, private corporations and their distant shareholders” (Brennan et al., 2017).
A perceived lack of benefits can lead to mistrust of renewable energy development in communities and can give rise to local opposition. More participatory approaches, such as community (co) ownership models, can help build trust in local communities as they can both manage and benefit from renewable energy projects, and promote more environmental stewardship (Lennon et al., 2019). Dedicated funding streams and the provision of technical assistance is needed to empower and enable community energy projects.
(iii) Labour Force and Skills
The energy transition and low-carbon economy is creating a high demand for skilled and specialised employment. However, there remains a shortage of workers across the EU, where nearly two thirds (63%) of small and medium-sized firms are unable to find the necessary workforce with adequate technical skills and qualifications (European Commission, 2024). The demand for highly skilled workers can further marginalise groups already excluded from the energy sector, unless targeted education and training is provided. Creating greater labour capacity will entail interlinking policies across educational, housing, and health systems.
Furthermore, centring care and community work within energy policy labour market objectives is necessary for developing and sustaining the low-carbon economy. Despite their essential supportive roles within the energy transition and wider sustainable development, care and community work are not classified as ‘green jobs’ and are typically undervalued and low-paid.
4. Creating a Just and Inclusive Policy Agenda: Policy Recommendations
4.1. Recognising gender dynamics in the energy transition
- Gender-Proofing Policies: Policymakers must ensure that the energy transition does not disproportionately exclude or burden women. Gender impact assessments should be common practice across energy policy design, implementation and evaluation, to ensure equal benefits and participation.
- Classifying Care Work as ‘Green’ Work: Energy policy should include efforts to support care and voluntary work and acknowledge the role of the care economy, including by challenging low-paid, informal or unpaid work models in the energy and green transition.
- Inclusive Participation: Public engagement in the energy transition must be inclusive environments that support individuals with caring responsibilities, such as providing child-friendly facilities in public meetings.
4.2. Increasing local participation and development in decarbonisation
- Local Governance and (Co) Ownership: To create more sustainable energy communities, energy policy needs to focus on improving the administrative and institutional capacity of local energy community organisations to both manage, and benefit from, renewable energy projects. Dedicated funding and the provision of technical expertise or training can support capacity building of community energy projects and generate local financial and societal benefits, including environmental stewardship.
- Grid Access and Distributed Generation: To facilitate locally-led energy production and generation in practice, grid operators must be mandated to facilitate connections and grid access for smaller and distributed generation for local communities.
- Employment Opportunities: Promoting local employment opportunities should be prioritised in the Irish energy transition, with targeted educational and recruitment initiatives aimed at hiring women, low-income groups and other marginalised communities.
4.3. Restructuring grants and subsidies
- Accessible Support: The application processes for grants and subsidies must be simplified, with additional supports provided to those who lack literacy and/or digital skills. Face-to-face support is one avenue that can provide particular support in the application process.
- Support for All Household Types: The difficulty or inability of renters or people living in other forms of households such as caravans or mobile homes to access grants or subsidies for energy efficiency improvements and renewable energy installations require tailored policy support and interventions.
- Public Provisions for Energy Solutions: For certain marginalised individuals, the current grant and subsidy scheme is ultimately cost prohibitive, despite existing targeted schemes for low-income or other vulnerable groups. In these cases, direct and upfront public provision is required to ensure access to energy efficient solutions and renewable technologies.
Conclusion
In this paper, the experiences of marginalised groups and their current exclusion from the energy transition are placed at the centre of the analysis, so that they may be carefully considered and integrated into policy design and implementation. Practical and actionable policy recommendations relating to the recognition of gendered dynamics in the energy transition, local development and participation, and the restructuring of grants and subsidies for clean energy solutions offer policymakers several pathways for achieving a more participatory and equitable transition.
Notes
This paper is based on a series of reports developed under the project ‘REDIE: Realising Equality, Diversity and Inclusion for Energy sector transformation’. The work was supported by the Sustainable Energy Authority of Ireland, Research Development Demonstration Funding Programme 2022 [Grant number 22/RDD/834].
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