South Dublin County Council has refused Google Ireland planning permission for a new data-centre at Grange Castle Business Park in South Dublin. 

Why? 

The reason given for the refusal was “the existing insufficient capacity in the electricity network (grid) and the lack of significant on-site renewable energy to power the data centre”. 

What Data Centre? 

Google already has two data-centres in South Dublin’s Grange Castle business park, and had submitted plans to build a third 72,400sq-metre data-centre consisting of eight data halls on a 50-acre site. This new data-centre would have created 50 jobs and documents lodged with the application by Google Ireland had highlighted how important the new data-centre would be for Google being able to meet the increasing demands for Information and Communications Technology (ICT) services to its customers in Ireland and in supporting Ireland’s digital economy. 

Concerns 

South Dublin County Council refused Google Ireland’s planning application for a third data-centre primarily due to concerns about energy usage and environmental impact.  
 
The council was worried that the new data-centre would place a significant strain on the already limited capacity of the local electricity grid, potentially leading to grid congestion and challenges in managing power supply. This decision aligns with the stance of Ireland’s state-run electric power operator, EirGrid, which had previously (2022) indicated it would not accept applications for new data-centres in Dublin in the near future, due to insufficient grid capacity.  

The council also criticised the lack of on-site renewable energy sources in Google’s proposal, which was seen as inconsistent with Ireland’s climate goals and efforts to reduce carbon emissions. 

A lack of clarity regarding Google’s engagement with power purchase agreements and its failure to connect the proposed data-centre to the surrounding district heating network was also highlighted as contributing to the planning refusal.  
 
In relation to concerns about the environmental impact, Google Ireland’s proposed design was deemed to not fully comply with the South Dublin County Development Plan (2022-28), particularly in terms of protecting green infrastructure, such as streams and hedgerows, and the overall integration of the facility into the local environment. The council ruled that the proposed usage was not suitable for the designated enterprise and employment-zoned lands, and it highlighted concerns about how the project would impact power supply once operational in 2027.  

Also, An Taisce (an environmental advocacy group) further warned that the data-centre would compromise Ireland’s ability to meet its carbon budget limits and place additional pressure on renewable energy resources, leading to further environmental concerns. 

What Now? 

As yet, there’s been no official comment from Google about the refused application and Google now has one month to appeal the Council’s decision.  

With part of the refusal of the application being based on the apparent lack of on-site renewable energy, it’s interesting to note that Google has long been involved with renewable energy sources. For example, back in 2021, Google signed a long-term supply agreement with solar energy firm Energix Renewables to supply Google with electricity via its solar power operations, covering a 1.5GW peak of solar project development until last year. 

Data-Centres 

Just how much of an effect data-centres are having on Ireland’s energy supplies was highlighted by a Silicon Republic report back in June which showed that data -entres now consume a massive 21 per cent of Ireland’s electricity!  With this figure set to rise to one-third of the country’s total electricity consumption by 2026, it’s perhaps unsurprising that political leaders, environmental bodies and councils are now particularly concerned about the effects of more massive data-centres being built in Ireland. 

That said, Amazon was granted permission last September for three new data-centres at a data campus near Mulhuddart, northwest of Dublin. As part of the conditions for granting planning, however, Amazon had to install the infrastructure to develop a district heating scheme for recycling the heat from the data-centres. 

What Does This Mean For Your Business? 

The refusal of Google’s planning application for a third data-centre in South Dublin highlights the growing challenges related to the energy consumption of data-centres and their environmental impact. As mentioned above, data-centres already consume a significant portion of Ireland’s electricity (currently 21 per cent), with projections indicating this could rise to a third by 2026. This heavy demand places immense pressure on the national grid, which has (not surprisingly) prompted concerns from local councils, environmental groups, and state energy operators like EirGrid. For businesses, the decision by South Dublin Council illustrates the increasing importance of considering energy efficiency and sustainability in operational plans. Companies will need to explore alternative energy solutions, such as integrating renewable energy sources, to avoid similar setbacks. 

For Ireland, this decision reflects a broader commitment to sustainability and managing environmental impacts in line with its national climate goals. By setting a precedent for stricter energy consumption and environmental guidelines, the refusal indicates that future data-centre developments will be closely scrutinised. This could influence other tech giants and data-reliant businesses, prompting them to reassess their environmental strategies and engagement with local communities. 

Google may now face a bit of an unexpected challenge in adapting its expansion plans to meet these new expectations. The company must demonstrate a stronger commitment to sustainable energy practices and compliance with local development regulations. That said, Amazon’s been able to get approval for three data-centres by focusing more on renewable energy and giving the community back something via a heat recycling scheme, so despite this initial refusal, it’s not unlikely that Google could still get approval on appeal and with the right alterations to its initial plans. 

For the local community, this refusal could be seen as a step towards ensuring that large-scale developments don’t compromise the quality of life, local infrastructure, and environmental health. That said, the refusal also means that 50 jobs won’t be created, and Ireland’s digital economy and ICT may not be as well supported as it could have been, thereby missing out on the economic benefits.  

For businesses in Ireland, this case serves as a warning and an opportunity. It signals a shift towards a need for sustainable growth and the need to align business operations with both local and national environmental standards.