Data centres in Ireland to be offered cut-price gas in return for possible supply disruption
Ireland's energy regulator is proposing a deal where data centres receive discounted gas rates in exchange for accepting potential supply interruptions during peak demand. The policy aims to manage the strain that expanding data centres place on the national energy grid.
Why it matters
This highlights the conflict between the rapid growth of digital infrastructure and the need for energy security and climate sustainability.
Data centres are to get cut-price gas in return for accepting a possibility of disruption to their supply under a proposal from the energy regulator.
The move comes as the regulator, the Commission for Regulation of Utilities (CRU), warns data-centre expansion will make it hard to source enough gas to meet national demand during extreme cold events.
CRU analysis shows just 17 planned new data centres would have the gas demand of six large gas-fired electricity generators or 2.6 million homes.
Under the proposed deal, new data centres would get discount gas on condition they accept that when gas demand is very high nationally they may experience planned interruptions.
They may have to temporarily power down, postpone energy intensive operations or use an alternative fuel source. The CRU says that is likely to be diesel.
The level of discount proposed has not been specified.
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