Irish Datacentres Added €360 to Household Bills as Power Use Hit 22% of National Demand
Updated
Updated · The Guardian · May 28
Irish Datacentres Added €360 to Household Bills as Power Use Hit 22% of National Demand
3 articles · Updated · The Guardian · May 28
A Friends of the Earth Ireland-backed report said datacentres raised the average Irish household electricity bill by a cumulative €360 from 2015 to 2023 and drained €715 million from the economy.
The report links that cost to datacentres' high, inflexible demand: they used 22% of Ireland's electricity last year—more than all urban homes combined—pushing gas-fired generation to set prices more often.
Seán Fearon, the report's author, said the effect worsens during energy shocks and could add another €295 to €644 per household from 2025 to 2034, or €633 million to €1.43 billion nationally.
Industry groups rejected the 'hidden data centre tax' claim, saying operators pay charges proportional to use, must source 80% of power from additional renewables, and have invested €18 billion in Ireland.
The dispute lands as Ireland broadly backs datacentre expansion and campaigners urge the EU to tighten safeguards as AI-driven capacity growth spreads across Europe.
Are datacentres an economic engine for Ireland or a hidden tax on every household's energy bill?
Why did the EU pass a law hiding how much energy and water individual datacentres use?
Can turning datacentre waste heat into a resource solve Europe's energy and climate dilemma?
The High Cost of Digital Growth: Data Centres, Household Electricity Bills, and Ireland’s Precedent for Europe
Overview
Ireland is facing an immediate crisis as soaring electricity bills are putting a direct and substantial financial burden on households. This situation is being driven by the rapid proliferation of energy-intensive data centres, whose escalating demand for power is reshaping the country’s energy market. Projections show that from 2025 to 2034, the growth of data centres could add between €295 and €644 to the average household’s electricity bills, with the total national cost reaching up to €1.43 billion. As a result, ordinary Irish citizens are experiencing increasing financial strain linked directly to the expansion of data infrastructure.