UP to 500 jobs are to be created at an innovation campus being established for Dublin City University (DCU).
The Government has given the university a prime site rent-free to allow it develop the hub.
Jobs Minister Richard Bruton says he hopes the venture will create 200 jobs in the first 18 months of its operation and a 500 jobs over five years.
The new national centre of innovation in the clean-tech sector will be located on a site formerly occupied by Enterprise Ireland, in Glasnevin, north Dublin.
It is hoped to locate high-tech companies on the campus by offering access to skills and facilities to help facilitate growth.
The clean sector, worth €5 trillion globally, develops products and services focusing on water, waste, energy and emissions sustainability.
Mr Bruton said the campus would bring together start-ups and more established firms, as well as the research and development provided by DCU.
He said the Government wants to see the creation of 10,000 new jobs in the sector over the coming years.
A firm committed to relocating to the campus is utilities company Dalkia, whose CEO is former Dublin football boss Pat Gilroy.
The campus is being provided rent-free to DCU on the basis that it develops the hub at no cost to the exchequer.
Space on the site will also be allocated for an Educate Together school.
Mr Bruton said the initiative was a "great example of using scarce State resources in smart ways to drive job creation".
"This is a site that has had great tradition, the home traditionally of the Industrial Research and Standards Institute, and now once again it's taking up the challenge of creating a new economy, and a central part of it will be the green economy," he said yesterday.
Mr Bruton also announced a fund for undergraduate students in DCU who want to start their own companies while still in college.
Teams of students will be able to access up to €10,000 in funding from the UStart scheme.
The initiative is aimed at fostering an entrepreneurial spirit in students, the minister said.