A new €26 million funding opportunity is inviting industrial manufacturing businesses across Ireland and Northern Ireland to develop innovative ways to cut emissions, reduce waste and improve competitiveness. The Shared Island Sustainability Challenge Fund is designed to support collaborative, first-of-a-kind projects that can help reshape the future of industry across the island.
What the sustainability fund will support
Launched on 12 October 2026 by Taoiseach Micheál Martin, Minister for Enterprise, Tourism and Employment Peter Burke and Northern Ireland Economy Minister Caoimhe Archibald, the fund will support businesses working on major industrial sustainability challenges.
Eligible projects may focus on:
- Flexible industrial electrification
- Hard-to-abate climate technologies
- Water efficiency
- Circularity and resource efficiency
- Bioeconomy solutions
The initiative is intended for collaborative innovation projects with the potential to deliver environmental improvements, create value for industry and strengthen the wider all-island economy.
How the €26m allocation is structured
The fund has been co-financed through the Government of Ireland’s Shared Island Fund, with €13 million available to businesses in Ireland and a further €13 million available in Northern Ireland. Enterprise Ireland and Invest Northern Ireland are each contributing €3 million in their respective jurisdictions.
Delivery will take place through cooperation between Enterprise Ireland, Invest Northern Ireland and InterTradeIreland. The partnership reflects a broader effort to deepen cross-border economic cooperation while supporting innovation, investment and decarbonisation.
Building on earlier industrial investment
The new scheme follows the €20 million Shared Island Sustainability Capital Grant awards announced in December 2025. Those awards have leveraged €63.5 million in private-sector funding for capital investment in decarbonisation, according to the announcement.
The latest fund places greater emphasis on novel solutions and demonstration projects that could be adopted more widely across manufacturing and other energy-intensive sectors.
Read more: Explore Ireland SME support and business growth updates from Daily Digest.
Why the fund matters for Irish industry
Industrial businesses face growing pressure to lower carbon emissions while protecting productivity, managing energy costs and remaining competitive in international markets. Funding for new technologies can help companies test solutions that may otherwise be too expensive or risky to develop independently.
The fund also supports a more connected industrial base. By encouraging companies and research or delivery partners on both sides of the border to work together, the scheme aims to build scale around emerging green technologies and accelerate practical results.
For manufacturers, potential benefits include improved resource efficiency, lower operational emissions, stronger resilience and new opportunities in the growing low-carbon economy.
Explore more: Find further Irish business and enterprise coverage and follow business innovation and investment insights.
What applicants should consider
Businesses considering an application should assess whether their proposal demonstrates genuine innovation, cross-border relevance and measurable environmental benefits. Strong applications are likely to show how a project can improve industrial performance as well as contribute to decarbonisation.
- Define the industrial challenge clearly.
- Explain the proposed technology or process change.
- Set out expected environmental and commercial outcomes.
- Demonstrate collaboration between relevant organisations.
- Provide a realistic plan for implementation and future scale.
Frequently asked questions
Who can apply?
Eligible industrial manufacturing businesses in Ireland and Northern Ireland can apply for funding contributions towards collaborative innovation projects.
What areas are covered?
The priority areas are electrification, hard-to-abate climate technologies, water efficiency, circularity, resource efficiency and the bioeconomy.
Who is delivering the scheme?
Enterprise Ireland, Invest Northern Ireland and InterTradeIreland are delivering the fund collaboratively.
The next step for businesses
The Shared Island Sustainability Challenge Fund gives manufacturers an opportunity to turn decarbonisation challenges into practical innovation projects. Companies interested in applying should review the official guidance from Enterprise Ireland and Invest Northern Ireland, confirm eligibility and develop a proposal with clear environmental and commercial objectives.
For businesses tracking business news Ireland, the launch is a significant signal that cross-border collaboration and industrial sustainability will remain important drivers of future competitiveness.
