The energy regulator has signalled a further possible delay in a long-awaited decision on the future of new data centres.
Restrictions on the connection of data centres to the electricity grid have effectively acted as a moratorium on new development since 2021.
They were introduced because of the enormous strain data centres were placing on electricity supply in the key areas they sought to locate.
A new policy setting out where and how the centres can be set up was thought to be imminent.
RM Block
However, the Commission for Regulation of Utilities (CRU) was due to tell the Oireachtas Committee on Climate, Environment and Energy on Wednesday that the date was subject to change.
“The CRU originally indicated an intention to take a final decision in Q3/Q4 of this year,” it said in a statement prepared for the meeting.
“Given the significant number of responses and the balance of priorities facing the decision, the anticipated publication date is therefore subject to fully addressing the complexity of the detailed submissions received.”
Data centres have become a hugely controversial issue as they already use more than 20 per cent of all electricity generated in Ireland and their demand is forecast to grow significantly.
Energy experts have expressed concern that all new renewable energy generated in recent years has been used up by data centre expansion rather than in replacing existing fossil fuel use.
Climate experts are alarmed that a draft new policy published by the CRU earlier this year proposed allowing new data centres so long as they generated their own electricity.
Critics of that proposal said it would likely mean data centres installing on-site gas generators – a backward step in the aim to decarbonise industry.
In its statement, the CRU acknowledged there were competing interests.
“The aim of the proposed decision is to provide a pathway ... which addresses risks in relation to security of supply and network constraints while minimising, where possible, potential negative impacts on national renewable energy targets and carbon emissions,” it said.
Separately, the CRU also highlighted the growing problem of gas and electricity bills arrears.
“The CRU’s published data has shown that arrears levels are trending at historically high levels, both in terms of the value of overall arrears and the average value of a customer’s account in arrears,” it said.
Protections for customers in arrears, it said, would be maintained and the winter disconnection moratorium would stay in place.
However, it said this policy did not necessarily solve the underlying problem.
“The data has shown that longer disconnection moratoria, in addition to longer repayment periods, does not benefit customers as customer debt levels can continue to increase should payments not be made.”
