2026-02-24

139. Deputy Pa Daly asked the Minister for Climate, Energy and the Environment if he will consider bringing forward a prioritisation framework for grid connections; and if he will make a statement on the matter. [14766/26]

This question has come up in the past. Will the Minister consider bringing forward a prioritisation framework for grid connections, particularly as we have a crisis in the context of housing and the cost of living? We have all heard about the problems with the MetroLink, for example, and the energy that will be needed for it. There is a reckless attitude towards data centre expansion. Even the Minister's officials agree on that. The Minister knows that he needs to bring forward legislation to deal with the prioritisation framework. Will he bring it forward?

The CRU is responsible for grid connection policy. I will be working on reforming the CRU, something that is needed. We are also securing additional resources for the CRU, which I welcome. The CRU was assigned responsibility for regulating the electricity sector following the enactment of the Electricity Regulation Act 1999. The management of and matters related to connections to the electricity grid are functions assigned to ESB Networks and EirGrid under rules determined by the CRU. These organisations are independent of me, as Minister, in the exercise of their respective functions. Having said that, PR6, which is the grid investment I spoke about in my previous response to the Deputy, details what we need to do with our grid to be able to deal with the growth that will occur in the residential housing market, the industrial sector and all other sectors, including transport. Record investment of €18.9 billion over this period will deal with those demands. We need to expand our grid by way of distribution, storage and generation. The last full year for which I have data on generation through renewables is 2024. In that year, over 40% of our electricity was generated via renewables. That is growing which is a good thing but we need to improve the resilience of our grid and expand it which we will do. That is why on behalf of the State we are investing €3.5 billion in equity in EirGrid and ESB. PR6 has been published. It details what those grid investments will deliver. There is no question of putting data centres ahead of residential developments. That has not happened and will not happen. We also need to grow our industrial base and create jobs for our people. We need to ensure that we have a grid which supports growth in our residential and enterprise sectors.

A grids package was announced on 10 December. It gives the Government the green light to move away from the first-come, first-served model that gives rise to rampant data centre expansion that has displaced the delivery of housing and transport and led to the hiking up of energy prices for households. The Commission stated, "In areas with long waiting times for grid connection, the first-come, first-served principle should be abandoned". We will bring forward legislation on that in the coming months. The current model is broken. The Minister's officials will agree with that. The Secretary General of the Department has said that there are difficult choices to make between housing and AI. Instead of prioritising the corporate bottom line, I want the Minister to prioritise ordinary people who are going through a cost-of-living crisis. We have seen data centres expand to the point where they account for one third of energy demand. Dealing with this matter is within the Minister's gift. He cannot hide behind EU rules and regulations. Will he agree to support our legislation to put that prioritisation framework in place when it comes through?

When Sinn Féin publishes its legislation, I will certainly look at it in a constructive manner. Data centres underpin an important technology sector in this country that employs hundreds of thousands of people. We have not had a situation, nor will we, where a data centre is connected ahead of a housing development. That just does not happen. It has not happened. We need to be at the cutting edge when it comes to technology. We should not turn away either indigenous or foreign direct investment. We need to look at expanding capacity in order to accommodate that investment and deal with the increasing energy demand we have. That demand is going to increase by another 50% between now and 2035. This is why it is imperative that we invest in our grid at a rate we have never seen before and deliver projects like the North-South interconnector, on which the Deputy's party has different views north and south of the Border. The bringing forward of legislation might afford the Deputy an opportunity to clarify the position of the main Opposition party with regard to that important infrastructure.

The Minister recently met the ESB and EirGrid to discuss house connections. There was a story in The Irish Times about that matter over the Christmas period. The Minister knows that under the current regulation, it is first-come, first-served model. He also knows that for this to change, he must empower the regulator by means of new legislation. He knows in light of the grids package and the new guidance for connections, there is nothing standing in his way in this regard. In the interview, which was published on 30 December, there was no indication that the Minister had any intention of bringing legislation forward. What took place in the meetings with EirGrid regarding connections? The Minister knows well that the ESB and EirGrid cannot do anything until the regulation is changed. Will he bring forward legislation in order for this to happen?

I should have said in response to the Deputy's initial question that I welcome the publication of the grids package. The package speaks to the issue across all member states whereby we collectively invest in our grid system and look at expanding interconnection and see where the EU can assist in the context of funding between member states and third countries. I again ask the Deputy to clarify the position of his party regarding the North-South interconnector. Does Sinn Féin support it or not? Does it agree that it is a critical piece of infrastructure on this island? There is a 32-county, all-Ireland electricity market. If anything, one would have thought that we would collectively support improving the resilience of that market. The North-South interconnector is critical to that. We will embark on drafting legislation in respect of the CRU. There is a commitment in the programme for Government that we will look to work with the CRU to reform its structures and examine its mandate. I will deal with the Deputy and the Oireachtas committee at the appropriate time. I would welcome his input.