Post: Ireland sets out Large Energy User Action Plan

Ireland sets out Large Energy User Action Plan

Ireland has set out new plans to combine data centre development with its ongoing sustainability targets.

The Large Energy User Action Plan (LEAP), published on 13 January, sets out how the government plans to accommodate energy-intensive sectors, while preventing excessive pressure on the grid as it pushes to meet net-zero targets. The 17-point plan, confirmed by the cabinet after last year’s consultations, will open the door to private connections and new data centres being developed. The Plan also aims to support increased technology investment into Ireland, with renewed scope on the provision of energy-intensive industries such as semiconductors, pharmaceuticals and precision engineering.

One of the most key actions outlined is the development of Green Energy Parks, where large load users would co-locate with renewable generation and supporting grid infrastructure. The locations would align with national and regional planning, as well as electricity network development, and will likely be in locations with excess renewable energy capacity. The plan states that the parks will focus on the most energy-intensive industrial sectors in the period after 2030, including data centres, with plan-led sites expected to be at the scale of hundreds of megawatts of capacity. The plan said that it will prioritise locating large energy users where they support investment in renewables, effective grid utilization, and economic development, and are consistent with Ireland’s legally binding climate objectives.

The plan acknowledges that grid constraints will continue to limit new large connections in the near term. In 2024, data centres accounted for 22% of metered electricity consumption, despite a de facto moratorium existing in the Dublin area for new data centre builds since 2021. The moratorium was partially lifted in December, after the Commission for the Regulation of Utilities (CRU) ruled data centres could be built with requirements for them to generate their own energy for supply to the grid via the wholesale market, with data centre companies also being expected to source 80% of their annual demand via renewables.

The action plan will be rolled out over the next five years, with the goal of completing all its targets by 2035.