This presentation was delivered during the 6th Meeting of the OECD Southeast Asia Regional Programme’s Regional Policy Network on Sustainable Infrastructure, which took place on 25-26 April 2022 in Manila, the Philippines. The OECD’s Public Governance Directorate and Environment Directorate teamed up with the OECD Korea Policy Centre to organise the event. The National Economic and Development Authority (NEDA) of the Philippines co-chaired the event alongside the United States, and the Public Private Partnership Centre of the Philippines graciously provided the venue. For more details about the meeting, including the agenda and a short summary record, please visit: https://www.oecd.org/site/sipa/events/sipa-searp-philippines-2022.htm.

1. The Climate & Environmental Assessment of
Ireland’s National Development Plan 2021-2030
Ken Cleary
Climate Change Unit
Department of Public Expenditure & Reform
25 April 2022

2. 2 An Roinn Caiteachais Phoiblí agus Athchóirithe | Department of Public Expenditure and Reform
What is the National Development Plan 2021-2030?
The NDP details the capital
investments that will be made to
promote economic recovery and
provide for the infrastructure needs of a
growing population.
The investments are intended to move
the economy onto a more
environmentally sustainable path, a
path that is compatible with the
Government’s domestic climate
commitments and the Paris
Agreement.

3. 3 An Roinn Caiteachais Phoiblí agus Athchóirithe | Department of Public Expenditure and Reform
Extremely ambitious Government commitments on climate – 51%
reduction in greenhouse gas emissions by 2030 (as compared to
2018 levels) & Net Zero emissions by 2050.
These targets are legally binding, collectively and by sector under
the Climate Action and Low Carbon Development (Amendment)
Act 2021.
To demonstrate that public investment is aligned with Government
priorities.
Why perform a Climate and Environmental
Assessment?

4. 4 An Roinn Caiteachais Phoiblí agus Athchóirithe | Department of Public Expenditure and Reform
A qualitative assessment, to determine the potential impact every spending proposal may
have on each one of seven selected climate and environmental outcomes:
1. Climate Mitigation – the likely impact of the measure on greenhouse gas emissions;
2. Climate Adaptation – the contribution the measure will make to Ireland’s climate resilience;
3. Water Quality – any difference the measure may make to pollution levels in waterways;
4. Air Quality – any difference the measure may make to air pollution levels;
5. Waste & Circular Economy – what change in waste levels might be expected of the measure;
6. Nature & Biodiversity – what impact the measure may have on biological diversity;
7. Just Transition – will the measure contribute to employment that is compatible with Ireland’s long
term climate and environmental objectives.
What did the Assessment Entail?

5. 5 An Roinn Caiteachais Phoiblí agus Athchóirithe | Department of Public Expenditure and Reform
On the basis of this assessment, Departments
assigned every measure a specific
ranking against each of the climate and
environmental outcomes (with the exception
of Just Transition), using the following
methodology:

6. Score Definition
+3 The measure is focused on, or will contribute in a very tangible and specific way, to an
improvement in this outcome.
+1 Although not a specific targeted outcome or the direct focus of the expenditure, the
implementation of this measure is likely to contribute to an overall improvement in
this outcome.
0 The expenditure is likely to have no readily discernible impact on the outcome in
question.
-1 Any positive intended impacts the measure may have may be at risk of being offset by
negative impacts or potential rebound effects, which may contribute to a worsening
of performance against this outcome.
-3 The measure is likely to lead to an increase in activity or encourage behaviors that
would be unfavorable to this outcome.

7. 7 An Roinn Caiteachais Phoiblí agus Athchóirithe | Department of Public Expenditure and Reform
Summary of Results of the Assessment
128 measures were assessed.
67% of these measures were deemed, on
balance, as being likely to have a net
favourable impact on climate and
environmental outcomes – Category A
17% were deemed likely to have no
significant impact on climate and
environmental outcomes – Category B
16% of measures may have a net
unfavourable impact on climate and
environmental outcomes – Category C

8. 8 An Roinn Caiteachais Phoiblí agus Athchóirithe | Department of Public Expenditure and Reform
• A favourable categorisation.
• Not an unequivocal endorsement.
• Calculation of the impact of the measure on a net basis. This means
that it is possible for a measure to have an unfavourable impact on
one or more of the outcomes assessed but still receive a positive
ranking overall.
• Does not negate the need for Government Departments to consider
ways to address any negative climate and environmental
consequences that a net favourable measure may have.
Interpreting Category A

9. Body Level One
Body Level Two
Body Level Three
Body Level Four
Body Level Five
9 An Roinn Caiteachais Phoiblí agus Athchóirithe | Department of Public Expenditure and Reform
Interpreting Category C
• An unfavourable categorisation.
• Does not mean that these measures are incompatible with the achievement
of Ireland’s climate and environmental objectives.
• Not an indication that the measure in question should not proceed.
• Supporting population growth requires capital investment and, in particular,
capital investment in infrastructure some of which will have unfavourable
impacts on climate and environmental outcomes.
• Demonstrates that there should be an increased focus on ensuring that the
climate and environmental impact of this investment is minimised in so far as
is possible.

10. 10 An Roinn Caiteachais Phoiblí agus Athchóirithe | Department of Public Expenditure and Reform
Thematic Categorisation
 New buildings
 Vehicle replacement
 Transport infrastructure
 Enterprise support measures
 Investment in ICT and digitisation
 Data centres
 Energy efficiency measures
 Tourism support measures

11. 11 An Roinn Caiteachais Phoiblí agus Athchóirithe | Department of Public Expenditure and Reform
DPER’s Programme of works
Updating the Public Spending Code
The NDP also committed to a significant programme
of work to strengthen environmental and climate
consideration in public investment appraisal.
In the context of investment appraisal of long-lived
infrastructure assets DPER are working with the
OECD to:
1. Account for climate risk and uncertainty
2. Capture the full emissions impact of
infrastructure investment (indirect or induced
emissions)
The OECD has just completed a
fact-finding mission to understand
current policies/practices and
infrastructure investment appraisal
challenges
Next step will be a deep dive into
the Transport sector.
Result: Guidance document on
public infrastructure investment,
introducing standardised
environmental appraisal guidelines
in Ireland.

12. For further details
please contact:
Ken.cleary@per.gov.ie