The Environmental Protection Agency has revised Ireland's projected greenhouse gas emissions downwards.
The projections reflect the downturn in the economy.
Under the new forecast, the amount by which we exceed the Kyoto allocations will almost halve in the next five years.
The report says that agriculture, energy and transport are still the key sources of emissions.
However the Director General of the EPA, Dr Mary Kelly, said the country still faced challenges to meet international targets.
