An interview with Michael McCarthy, Director of Cloud Infrastructure Ireland at Ibec.
Executive Summary
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Powering Ireland’s Data Centre Sustainability: Data centres are seen as essential partners in Ireland’s journey to 80% renewable energy by 2030, particularly through offshore wind and corporate PPAs.
- Policy Shift Incoming: Ireland’s long-awaited policy for large energy users could redefine the growth trajectory of the national data centre industry.
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DC Ireland 2025 Outlook: The upcoming Data Centre Ireland event promises pivotal discussions on grid stability, sustainability, and the rise of AI-driven infrastructure.
In a recent interview with Lauren Raybould, Editor at Data Centre Insight, Michael McCarthy, Director of Cloud Infrastructure Ireland of Ibec, provided a detailed overview of the Irish data centre market in 2025, Ireland’s data centre sustainability efforts and its future.
Representing major hyperscalers including AWS, Google, Microsoft, and Meta, McCarthy highlighted the critical role of policy, energy infrastructure, and innovation in sustaining Ireland’s position as a global digital hub.
Policy and Power: Foundations of Ireland’s Data Centre Sustainability and Growth
“The significant issue for us right now is the long-awaited new connection policy by the energy regulator for large energy users — effectively a connection policy for data centres,†McCarthy explains.
After years of consultation, this policy is expected to provide a clear roadmap for future grid connections, addressing a de facto moratorium in Dublin. McCarthy emphasises that long-term stability is essential for sustaining Ireland’s reputation as a digital hub, with sustainability and decarbonization at the core of future growth.
Data Centres as Catalysts for Renewable Energy
Ireland’s data centre industry is increasingly seen as a partner in achieving the country’s renewable energy ambitions. McCarthy highlights a study with Baringa, which explored the role of data centres in supporting Ireland’s offshore wind targets post-2030.
“We have a huge natural resource in wind. To realise Ireland’s ambition, we’ll need a domestic off-taker for that offshore wind — and data centres can play a major role,†he notes. Corporate power purchase agreements (CPPAs) allow cloud operators to bring renewable energy directly onto the grid, supporting decarbonization without public expenditure.
Strengthening the Grid: EirGrid’s Role
EirGrid’s blueprint, Shaping Our Electricity Future, outlines the path to 80% renewable electricity by 2030. Achieving this requires coordinated investment in infrastructure, including overhead and underground cabling, making it both a technical and political priority. Data centres, as major energy users, are critical to the success of this transition.
Data Centre Ireland 2025: A Flagship Gathering
Looking ahead to Data Centre Ireland 2025, McCarthy describes it as a key event for the ecosystem. It is bringing together renewable energy leaders, technical operations teams, and supply chain innovators. Keynote speaker Minister of State Timmy Dooley will underscore the strong relationship between government and industry.
The conference will likely focus on grid stability, energy efficiency, and emerging technologies like AI. McCarthy describes them as the next wave of digital investment and a source of lively debate during the event.
Innovation and Ireland’s Economy
Ireland’s data centre sector now exports expertise globally. “Irish companies building data centres here are taking that know-how abroad,†McCarthy explains. Innovations such as modular builds and energy-efficient UPS systems continue to improve sustainability and operational efficiency. This reinforces the sector’s contribution to the domestic economy.
Looking Ahead: What Comes Next?
While policy, infrastructure, and innovation are shaping the Irish data centre market, the path forward remains dynamic. With continued investment, sustainable growth, and emerging technologies like AI, the industry faces exciting opportunities. However, some challenges require careful planning and collaboration.
As Ireland prepares for its next wave of digital infrastructure, one question remains. How can the country balance growth, sustainability, and innovation to remain a global leader in the data centre sector?
