Powering Ireland’s Economic Development
What advantages does Ireland offer energy intensive industries?
We have a proud history of supporting FDI in Ireland, and the nation remains the premier European country in terms of attractiveness. It started with the pharmaceutical industry, then the tech firms, and more recently the data center industry has arrived.
Ireland’s transmission system is considered the second best globally in terms of performance and is extraordinarily resilient and robust. We have strong plans to ensure we can continue that level of robustness. We are going to see extraordinary growth in demand with a 30-40% increase, and data centers could soon account for approximately one quarter of all electricity demand. We therefore have a strong investment plan incorporating innovative high tech solutions. We are confident we will meet the demands of the system while decarbonizing the process. We are in a trajectory to decarbonize the electricity system by 2030.
Renewable energy reached 32% in 2018, and the government is likely to adopt policies in the range of 60% by 2030. So while coping with a 40% increase in demand, we are doubling our level of renewables in the system. We have an exciting decade ahead in regards to meeting those twin objectives.
Ireland’s grid is well dispersed and there are plenty of opportunities to invest in power intensive industries in Cork, Galway, Limerick, and the midlands. The infrastructure is readily available, and we are prepared to handle additional investment projects.
Intel, the biggest semiconductor manufacturer in the world, is locating their highest technology plant in Ireland. This massive investment will consume the equivalent energy of a small city, and produce premium scale products such as the world’s smallest semiconductors. Amazon, Microsoft and Facebook are examples of other energy intensive companies that are expanding operations in Ireland.
How is EirGrid helping Ireland decarbonize?
We are currently building an electricity system that can handle 90% renewables in the system at peak. It is not done anywhere else in the world. Today we regularly handle 65% at peak.
We are world leaders in terms of facilitating renewables in the system. Eight months ago we awarded 129 contracts to an annual value of 130 million euro per year to companies that can offer us services and systems that keep the power systems stable while there are enormous levels of renewables in the system.
We are leading a 20 million euro EU sponsored innovation fund, and are providing the leadership to do the necessary engineering and planning studies to accomplish the 2030 goals. We also have a masterplan to add 3GW of wind power to the coast of Ireland.
What should investors remember about Ireland’s national grid?
We have a world class energy sector here in Ireland thanks to a community of entrepreneurs with a focus on renewable development comprising of state and international companies. We compete with the best in the world in regards to the quality of our system, its resilience, robustness, and the level of green energy that is and will be on our system by 2030.
Our current two interconnectors connect us to the UK, and our biggest capital project is the Celtic Interconnector, which will connect Ireland with France. Interconnectors are a vital part of our strategy, and this is the first time we will be connected to mainland Europe.
