What is the Commission for Regulation of Utilities (CRU) latest ruling on data centres?
All new data centres looking for connections to the electricity supply networks must have backup generators or storage (batteries) and use these to supply power to the market – that is homes, businesses and so on.
[ Data centres to supply electricity under proposed new rulesOpens in new window ]
Why has the CRU decided to do this?
It’s because data centres consume such large amounts of energy. They account for about 20 per cent of all electricity used in the Republic. That will increase to 30 per cent by 2032. This decision is meant to offset that pressure on supplies.
Are there not already rules in place for data centres?
Yes, but these just demand that national grid operator EirGrid and ESB Networks, which handle many connections to the system, take into account their location and whether or not they can build their own backup generators.
Does this new rule apply to all data centres?
Only to those that seek connections after the rules come into force. Those that are already operating, or have already sought or been given connections, will be subject to the old requirements.
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Is this a final decision?
Not absolutely, the CRU will take comments from any interested party until April. However, it is likely to apply the requirements set out on Tuesday unless the submissions produce a very convincing argument that it should not do this.
Are there other requirements?
Yes, EirGrid and ESB Networks will have to consider if connection applications are in areas where there is already a squeeze on electricity supplies. Those firms will have to provide information, including maps, detailing where those pressures are on the network.
Is there not a general squeeze on electricity supplies?
Yes, but the pressure has eased, partly because we have temporary emergency power plants while high prices here have lured imports from Britain. Separately, suppliers are building more gas-fired generators and the CRU and EirGrid are working on increasing supplies.
Will data centres have to use green electricity?
No, they can choose whatever type of generators they want but they have to report on emissions and renewable energy use.
What is the industry saying?
Garry Connolly of lobby group Host Ireland says there are “too many opportunities in limbo” and is disappointed that the CRU paper does not acknowledge information technology’s economic contribution. It wants the Government to get the State, its agencies and the industry to begin talks on finding immediate solutions to the squeeze on the electricity grid and supplies.
What is the Government doing?
It is working on an overall policy that will take account of the industry’s economic contribution, its digital targets and the Republic’s energy needs, among other things.