Cloud Infrastructure Ireland Statement on Friends of the Earth Publication

Cloud Infrastructure Ireland (CII), the Ibec group representing cloud providers, responded to the Friends of the Earth-commissioned UCC report with the following statement:

“Ireland has earned a strong reputation as a global digital hub, and as the world continues to digitalise, there is an ever-increasing demand for cloud services.

CII members are committed to ambitious sustainability goals. Their operations rely on Ireland’s electric grid, and at the same time, they add clean and renewable energy projects to the grid to support their goals and broader decarbonization of the electric sector. The data centre sector is a key enabler of Ireland’s offshore wind (OSW) plans, including achieving the goal of 20 GW of new OSW capacity by 2040. Ireland will require energy-intensive industries to serve as a market for this OSW output, and hyperscale data centres provide that essential market.

A recent publication by Baringa highlights the critical role hyperscale data centres will play in reaching these ambitious offshore wind targets. Additionally, CII members have committed to securing 1,200 MW of renewable energy through Corporate Power Purchase Agreements (CPPAs), projects that would not be viable without data centre involvement.

Many challenges in the energy sector stem from issues on the generation side rather than the demand side. Over the last decade, Ireland has experienced a modest 2.2% increase in electricity consumption—typical for a thriving, modern digital economy.

It was incorrect for Friends of the Earth to claim that “the state has a policy of allowing unlimited data centre growth.” In reality, only one single connection agreement has been issued by EirGrid in the last four years, and a de facto moratorium on new connections was imposed in 2022. Ireland now operates under a highly restrictive data centre connection regime.

For Ireland to maintain its position as a modern digital economy and continue attracting significant investment from the technology sector, it is essential to balance growth with sustainability while being guided by evidence”

- Michael McCarthy, Director of CII