Balancing Tech Growth with Sustainable Energy Solutions
A new analysis conducted by Bitpower Consultants revealed that 92 data centres use 21% of all electrical power generated in Ireland. It estimates that 23 campuses containing 64 data centres between 10MW and 50MW in the Republic of Ireland along with 19 smaller data centres using around 500kw account for this consumption.
The report follows news that, after planning documents for a new data centre in Naas announced the use of ‘highly efficient on-site gas turbines to generate the majority of electrical energy required to operate the data centre’, Kildare County Council has said that the planned data centre runs counter to national policy. They consider such emissions “excessive for one development, and would have wider implications for the sector to remain within its emission ceiling, with a consequent negative impact on climate change”.
Much has been made of the delicate balance between making Ireland an attractive location for tech investment and their national commitment to Net Zero by 2050. Data centres are central in cementing Ireland’s position as a global tech hub; there are 82 data centres currently in operation, with a further 14 under construction and planning approved for 40 more. While they currently consume 21% of all electricity generated in Ireland last year, this number has risen from 5% in 2015. It is projected to increase to 27% by 2028 as data centres house greater volumes of AI and Cloud infrastructure.
There are growing concerns that current infrastructure cannot keep up with the projected scale of growth. There is a further €15bn of investment in new data centres – however, €8bn-€10bn of this is at risk across at least 15 projects over the next decade. The report attributes this to energy constraints and planning delays, echoing findings from a report on EU competitiveness from September.
Considerations in meeting such an important growth sector include the implementation of sustainable solutions which are twofold. Firstly, Ireland’s offshore wind potential can turn it from one of the most energy-import-dependent countries in the EU to a “Net Exporter”. Ireland’s national development and renewable energy interdependence could not be more pronounced. At an event in September showcasing the 20th anniversary of Amazon’s industrial presence in Ireland, senior executives spoke of how Ireland is currently missing out on billions in data centre investment. Neil Morris, country lead for Ireland, said “If we get the delivery of offshore wind right and a correct energy policy framework in place, then Ireland will be well positioned to win substantial investment from multinationals like Amazon.”
Secondly, is the accelerated deployment of micro or off-grid solutions. Both batteries and solar reduce grid constraints while also reducing customer costs. Innovative business models, such as Power Purchase Agreements, allow businesses to forecast energy prices for up to 30 years into the future.
UrbanVolt is perfectly positioned to support the second option and believes that businesses need to lead the way to a cleaner future which will immediately reduce energy costs by 50% at no upfront capital costs. For more information click here.
Author: Will Penn | Energy Associate Manager | UrbanVolt