The Government must now make a clear statement on how it intends to meet the European Commission's targets on cutting greenhouse gas emissions, the Labour Party said.
Energy spokeswoman Liz McManus said it was important that the latest EU targets "do not become part of a list of emissions targets that have not been met".
"Existing targets such as the Kyoto Protocol to limit emissions are not being met. Energy-related CO2 emissions in 2006 were 54 per cent higher than 1990 levels. A far way off the government's target of only 13 per cent above 1990 levels - a target that many felt wasn't ambitious enough," she said.
"The commitment to renewable energy must have Government backing and investment.
"In Budget 08, €13.2 million, less than 10 per cent of the €150 million provided for in the National Development Plan for energy research, was allocated by the Minister for Finance.
"This clearly demonstrates that this Government is not treating renewable energy as an urgent issue requiring immediate action.
"I will be recommending these EU targets to the Joint Committee on Climate Change and will work with the committee to ensure these requirements are met. In the meantime, the Government must clearly state its position."
Employers' group Ibec warned that the feasibility and financial implications of the new EU climate change targets, which pose a massive challenge for Ireland, have not been fully grasped. The group's Donal Buckley said: "The climate package announced today contains proposals which are of fundamental importance for Irish society as a whole, but particularly the business community as it will significantly influence enterprise policy into the future.
"While much focus will be on the proposed targets, which must be equitable and feasible, of more importance is how they are met," he said.