Irish datacentres have increased household bills by hundreds of euros, report finds
Summary
A report finds that datacentres in Ireland have raised household electricity bills by an average of €360 from 2015 to 2023 by increasing energy demand. The datacentres use a large share of Ireland’s electricity, pushing up prices especially since much of the power comes from fossil gas. Industry groups say datacentres contribute positively to the economy and pay significant taxes.Key Facts
- Datacentres in Ireland used 22% of the country’s electricity last year, more than all urban homes combined.
- This electricity use by datacentres has added around €715 million to Ireland’s economy costs and raised household bills by €360 on average between 2015 and 2023.
- The report suggests households are indirectly subsidizing big tech companies through higher energy bills, calling it a "hidden data centre tax."
- Datacentre demand raises gas-powered electricity use, which can cause price spikes during energy crises.
- If datacentre growth continues, households may pay an extra €295 to €644 on electricity bills by 2034.
- Industry groups argue datacentres buy electricity differently, invest €18 billion recently, pay grid charges, and meet EU’s strict renewable energy rules (80% of energy from renewables).
- The Irish government supports datacentres as vital to economic innovation and denies that they create an unfair burden on consumers.
- Datacentres are subject to high corporate taxes, which fund public infrastructure and programs in Ireland.
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