Amazon Web Services (AWS), Equinix and Microsoft may be forced to halt plans for new data centers in Dublin due to electricity restrictions in the city.
The Times (Via Datacenter Dynamics) reports that Amazon and Microsoft are looking for alternative locations outside Dublin after state-owned electricity operator EiGrid imposed a moratorium on new connections in the capital. The companies had budgeted nearly 2 billion euros for the expansion of their data centers in the region.
Last year, EirGrid warned that Dublin was at risk of blackouts due to excessive demand, mainly from existing and new large data centers run by cloud giants. The Irish Utilities Regulatory Commission (CRU) in 2021 named data centers as “the largest homogeneous demand driver” on the network.
Looking for new places to stay
EirGrid said it had not granted licenses to connect the Dublin grid due to power constraints.
“EirGrid is now applying these criteria to all data center applicants, many of whom have decided not to pursue further development,” a spokesperson said.
According to the Times, Microsoft and Amazon had received permission to build new facilities, but Amazon reportedly did not receive a connection from EirGrid and was told it could not obtain one. In the meantime, Microsoft is studying sites in London, Frankfurt and Madrid. Amazon is building a data center near London.
In 2021, Microsoft received permission to build two data centers in Dublin’s Grange Castle Business Park, which was due for completion in 2023, according to local reports.
Winter shortages
In June this year, the Irish government approved emergency generation of 450 MW to cover the winter of 2023 and 2024. EirGrid has forecast a shortage for this period.
Despite EirGrid’s projections that the power shortage would ease after this period, the Irish Utilities Regulatory Commission still warned that demand from data centers could increase the capacity shortfall. That’s why, in June, the authority said it should temporarily “postpone the ramp-up of data centers” when possible.
“The SRB considers that all potential mitigation measures on the demand side should be pursued, alongside those on the supply side. As such, the mitigation portfolio includes mitigating the aforementioned risk through the temporary postponement of data center ramp-up, where possible, for winter 22/23 and, in particular , for Winter 23/24, whether through dialogue or other processes,” the regulator said.
Source: ZDNet.com