Mr. Jim Gannon:

At the start of the timeline Deputy Whitmore referred to, the potential increase and acceleration of the rise in data centre demand was identified as a potential risk in 2017. In 2018, the Government published its first statement on the role of data centres in Ireland as an enterprise strategy and articulated that a plan-led approach would be taken, which would include actions by the regulator but also, one assumes, many other entities in terms of enterprise planning, spatial planning and other actors.

In 2018, I believe, and I will confirm this, the first data centre connection process and policy, DCCOPP, was developed by EirGrid in tandem with the CRU, which recognised that data centres were different and were a paradigm shift. This was the first policy put in place to try to address these grid connections differently. In parallel with that, in the energy projections that are developed and support our decision-making process, it became apparent that data centre demand prediction was quite difficult. If we look at the generation capacity statement from different years, including 2018, and 2019 to 2021, the years Deputy Whitmore referred to, the median demand raised and then lowered by significant margins, which were of the order of 300 MW at different stages. It is, therefore, unpredictable and challenging to predict.

Between the first data centre connections policy and the subsequent one in 2021, we experienced a significant tightening, sparked by the loss of two combined cycle gas turbine, CCGT, generation units for the better part of a year. That placed a highlight on the tightness of the system or how tight it could get at that point in time. At the same time, we saw again an increase in data centre demand, and an acceleration in that. The fact that data centre demand would increase was put forward as a risk but that demand is difficult to predict. A policy was put in place in 2018 which required strengthening in 2021. It now requires further strengthening, not just to deal with security of supply but also with decarbonisation, and that is what we are considering at the moment.