SEAI Business Energy Upgrades Scheme explained

– We need to talk about Commercial Retrofit

WhatsApp Image 2025-10-20 at 13.50.42 (4) — Eamonn Sheils, Programme Manager for Commercial Retrofit, Sustainable Energy Authority of Ireland ( SEAI).

In the first in a series of articles, EAMONN SHEILS, Programme Manager for Commercial Retrofit at the Sustainable Energy Authority of Ireland ( SEAI), outlines the challenge for retrofitting Ireland’s commercial and public sector building stock and introduces the new, simplified Business Energy Upgrades Scheme (BEUS), designed specifically to help SMEs and other commercial entities achieve energy efficiency through a rapid, applicant-centric approval process.

The Challenge

Retrofitting Ireland’s commercial building stock is a significant challenge. Without a dramatic increase in activity, we will not reach our national energy targets. At the SEAI, we are fully committed to driving this change. However, we recognise that we cannot deliver it alone. To maximise impact, we know it’s not enough to simply promote retrofit solutions. We must collaborate across sectors and engage meaningfully with every level of the supply chain. Feedback, partnership, and practical support are essential.

A Personal Perspective

Full disclosure: In nearly 20 years as a mechanical and electrical consultant, I was never involved in a project that applied for an SEAI grant. On the rare occasion one was mentioned, I wasn’t exactly a vocal advocate.

Why? Two main reasons.

First, M&E consultants often bore the brunt of additional scope, like grant applications, without corresponding fees.

Second, the grant process was perceived as complex and risky. If it didn’t work out, blame was shared. It wasn’t a win-win scenario.

Things are never that simple

Joining SEAI changed my simplistic view. I saw firsthand that there was a lot of great work being done by people who were driven to achieve our national targets. Nevertheless, I could also see how the reputation around commercial grants had been formed.

The existing ‘Support Scheme for Renewal Heat (SSRH)’ and ‘Excellence in Energy Efficiency Design (EXEED)’ schemes were highly impactful and attractive for projects of a certain size that had the right level of expertise on the client side to navigate the process. Given that these schemes accepted bespoke solutions in terms of projects and technologies, each application needs to be assessed on an individual basis. So, a certain amount of lead time is inherent in the process. In the newly arranged suite of business grants, these are referred to as tailored supports. In the time since joining SEAI, I witnessed significant improvements made to these schemes to make them more accessible and practical to the realities of the commercial sector.

Unfortunately, in the absence of a more suitable scheme, many smaller SMEs naturally went for these tailored solutions. Without the necessary expertise and time on their side, the process proved difficult for many and perpetuated the view of the grants processes not being fit for purpose. In fact, these schemes were never really meant for this cohort.

SEAI recognised the need for a grant application process designed for the realities of SMEs, one that respects their time and economic pressures. To address this gap, the role of Programme Manager for Commercial Retrofit at SEAI was created. And that’s how I came to write this article!

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SEAI Business Energy Upgrades Scheme — Graphic 1.

The Business Energy Upgrades Scheme

The goal, quite simply, was to create a new scheme that was conscious of the realities of a small to medium-sized business. I’ll spare you the very interesting but extended development stage and just fastforward to the outcome.

The Business Energy Upgrades Scheme was created.

Graphic 1 outlines the principles that shaped the scheme, each designed to address the barriers SMEs face in pursuing energy upgrades. Once we addressed this cohort’s needs, we found that the scheme suited smaller public sector organisations, charities and other groups who are also eligible applicants.

Holistic Phased Approach

To support SMEs, to move towards the larger project of electrification of heat, it’s essential to provide a range of measures with varying levels of commitment, whether in terms of cost or business disruption.

Discussions in the commercial sector often focused on solar photovoltaic (PV) and heat pumps. While both technologies play a vital part in achieving national targets, they do not provide a complete, practical, or economic solution on their own.

Solar PV is relatively low-cost and simple to install. It contributes to carbon reduction but does not improve energy efficiency or reduce fossil fuel use in the building.

Heat pumps, on the other hand, present a more complex challenge. Barriers include capital costs, uncertainty around transfer from fossil fuel to electricity or limited technical understanding.

To address these issues, the Business Energy Upgrades Scheme includes a broad range of technologies designed to improve energy efficiency and make a positive impact on businesses’ bottom line. SEAI’s Easy Wins campaign was launched earlier this year to raise awareness of the various grants and supports available to SMEs.

This approach of promoting and rewarding progression and not just completion is not only a better way of helping a small business but is, in fact, the optimum way that all building renovations should be approached.

Graphic 2 illustrates this ethos of gradual, holistic progression using the scheme and the benefits to the applicant as they move through the process.

Just start!

Every business has a different starting position, and we wanted to facilitate rather than dictate how an applicant approaches their progression. While Graphic 3 (below) shows a general progression through measures, there is no requirement to follow a specific order. The full suite of measures is available to all applicants, regardless of their starting point.

Design Assistance and BMS Optimisation provides support in creating a roadmap and optimising existing systems, resulting in immediate and potentially significant savings.

The energy efficiency measures involving traditional technologies, such as heat recovery, fan and pump technologies, building management systems, and solar thermal, offer impactful improvements.

Wall and roof fabric upgrades are also available where required, but the benefits of these need to be considered on a case-by-case basis. In commercial settings, the fabric-first approach is more nuanced due to longer payback periods.

Finally, heat pumps are offered across all common technologies, including split and variable refrigerant flow/volume systems.

The distinct grants for each technology allow manufacturers and contractors to promote the grant as part of their offering, similar to the PV industry.

Rapid Approval

The application is fully automated, including grant approval. An application only takes a few minutes, with the process typically requiring only five or fewer project-specific details to be provided.

Grants are immediately calculated live on the portal once data is entered under a specific measure. Once submitted, the applicant receives an automated Letter of Offer (LOO) and their proposed contractor a Letter of Nomination (LON). They are then free to commence the work, obviously ensuring all parties are aware of their requirements under the scheme in order to receive grant payment on completion.

Applicant Centric

Placing the applicant at the centre of the scheme, responsible for the application and payment process and allowing them to select their own contractor, is a fundamental aspect of the scheme. They are the ones with the most to gain and are most impacted by the work, so the scheme should allow them to be in control at all these junctures in the project.

All aspects of the scheme consider that the applicant may have no previous knowledge of the scheme or the related technology. The website, application portal and complementary documentation are designed to allow an applicant to take on this role. This approach also benefits the supply chain. Design teams and contractors typically need to invest little or no extra time if a project is applying for BEUS funding. Like that of the applicants, stakeholder guidance documentation is clear and concise, but must be read and understood to ensure compliance.

Contractor Registration

A significant portion of the commercial supply chain has not previously engaged with SEAI grant schemes. To broaden participation, applicants can simply enter the contractor’s name and contact details during the application process. They will still receive a Letter of Offer based on this information.

To maintain quality standards across the scheme, the contractor and their qualified installer for the related measures will need to register before the applicant submits a request for payment on completion of the works.

Looking Forward

The reality is that with the release of the amended EPBD (Energy Performance of Buildings Directive), the time will come when enforcement, rather than just encouragement, will become part of the method of progression to our goals. The best way to minimise the impact of these changes is to start working towards compliance now.

So far, the reaction to the format for the rapid approval grants schemes (Non-Domestic Microgen and BEUS) suggests we are closer to aligning with what is needed for engagement and action by SMEs. There is always room for improvement.

I encourage you to take a little time to review the material around this scheme and promote it wherever you can to prospective clients. If you find issues, opportunities for enhancements, we would especially like to hear from you.

Future articles

Further articles will follow in the coming months to detail specific measures under the Business Energy Upgrades Scheme (BEUS). In the meantime, please feel free to send any queries you have to the email address below, and we will do our best to assist you.