I propose to take Questions Nos. 14 and 15 together.
I note the recent report from Friends of the Earth, which attempts to assess the possible impacts data centres may have on the electricity market. Consistent with the Government’s position, the Friends of the Earth report underlines the importance of accelerating the roll-out of renewable electricity – to reduce the amount of gas-generated electricity we use and, in turn, to reduce to impact of international wholesale gas costs on electricity prices for households and businesses here in Ireland. Government are progressing a number of measures to support this objective.
Data centres are important for Ireland’s economic and digital future; they are a key part of our value proposition for foreign direct investment and the associated employment that brings. To attract the next generation of investment in strategic energy-intensive sectors like data centres, chemicals, and semi-conductors, we must deliver energy infrastructure much faster than in recent decades.
The Large Energy User Action Plan (LEAP) sets out a ‘plan-led’ approach for very large and energy intensive investments, which due to scale and energy consumption will benefit from coordinated national infrastructure planning, while protecting and supporting robust energy security cost competitiveness, affordability for all energy customers and promoting Ireland’s renewable energy ambitions. This will also be supported by unrepresented investment in our grid to ensure it continues to provide capacity for housing and other customers and in a way that ensures costs are fairly distributed across different customers.
A plan-led approach will ensure that growth is aligned with Ireland’s green transition, energy security of supply and energy affordability. It will also align with wider Government objectives, such as housing, transport and water.
I regularly meet with the Irish Environmental Network, the national advocacy coalition which comprises 32 leading environmental NGOs in Ireland, of which ?Friends of the Earth Ireland is a key member, on a broad range of related areas including climate and energy, and will continue to do so. I welcome their commitment and input to support both development and implementation of critical policy briefs.