Oireachtas Joint and Select Committees

Tuesday, 5 October 2021

Joint Oireachtas Committee on Climate Action

Energy Charter Treaty, Energy Security, Liquefied Natural Gas and Data Centres: Discussion (resumed)

Photo of Alice-Mary HigginsAlice-Mary Higgins (Independent) | Oireachtas source

I am sure other members will ask further about green hydrogen, which as a committee we have been trying very much to distinguish from the other gas. I want to focus on the question of demand. EirGrid's presentation was interesting in highlighting the sequencing is that demand is what is required as the first point and then the generation that will meet the demand.

In respect of data centres, Mr. Foley later stated that the growth in demand needs to be, and can be, accommodated. My concern is that the immutable piece seems to be demand whereas the policy seems to relate to supply. We have seen statements on a continued reliance on gas and a potential delay in the exit from certain other forms of fossil fuels.

Last year and before the summer we previously discussed the issue of demand reduction with EirGrid. I ask about the modelling for demand. The previous witness put it very well. It is not that we have an economy and are seeking to make that economy more environmentally sustainable. We are now working within environmental and planetary limits, and economic activity needs to take place within that constraint. However, the statement seems to be very focused on the fact that the demand must grow. There is a detailed economic discussion about data centres but not much detail on the environmental piece.

What measures are being taken in terms of modelling? Risk was mentioned as well as derisking for businesses. What other risk analysis has been done for the State? What is the risk analysis and what has been the demand modelling both in terms of energy alerts and blackouts which is one form of demand management, but also in the medium term in terms of demand management measures? What are the measures if we do not have flexibility in supply? If we are tied to the 80% or if it becomes a requirement for 90% by 2030, has that been modelled?

This issue applies to the CRU also. Under the Electricity Regulation Act 1999, the CRU is required to ensure environmentally sustainable energy supply. Under section 9(5)(a) the Electricity Regulation Act, the CRU has a duty to take account of protection of the environment and give priority to renewable and sustainable energy sources. In that context, if we assume that supply is not as negotiable and that we are looking to hard targets on the environment, how do we model demand? It was mentioned that there should be policy frameworks for data centres. Should those policy frameworks not be in place before the CRU commits us to further connections, involving further planning permissions? What risk analysis has it done in terms of the Energy Charter Treaty given the difficulty of moving away if we install from fossil fuel infrastructure? That is also a concern when we see things like the LNG being proposed.

Comments

No comments

Log in or join to post a public comment.