Gas Networks Ireland, the operator of the Irish gas network, has secured €6.4m in funding from the EU Commission.
This funding will allow it to develop the first 14 stations of a planned network of 70 Compressed Natural Gas (CNG) filling stations around the country.
CNG is a lower emission alternative to petrol or diesel.
The company also said that the EU funding will support the construction of a renewable gas injection point, and provide support to commercial vehicle owners wishing to buy dedicated CNG vehicles.
It said this will ensure that renewable gas will become part of Ireland’s transport fuel mix
Gas Networks Ireland said that the development of the new CNG network will commence before the end of 2016, with the first stations opening in early 2017.
The network will be delivered along the main transport corridors, mainly the motorway network.
Gas Networks Ireland said that CNG is particularly suited to commercial transport, where longer journeys and heavier loads exclude electric vehicles as a viable option.
To this end, a number of vehicle manufacturers currently provide a comprehensive range of CNG vehicles to Irish fleet operators.
Iveco launched its dedicated CNG Stralis 400 horsepower articulated truck into the Irish market this year.
Other major vehicle manufacturers, and their Irish distributors, including Scania, are also expected to launch new CNG models into the Irish market in the coming months.
The most recent SEAI report on energy in transport indicates that transport accounts for about 40% of Irish energy consumption and 33% of Irish C02 emissions.
88% of the country's energy demand in 2015 was imported, at a cost of €4.6 billion. Almost all fuel used in transport in Ireland is imported.
