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Data Centres: Boom and Backlash
14AUG

Ireland writes the grid rules into contracts

2 min read
10:48UTC

Ireland's utility regulator closed its consultation on EirGrid's MPID 345 on 29 July, a modification that would make data centres ride through voltage dips rather than trip to backup generators.

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Key takeaway

Ireland would oblige connected data centres to ride out grid faults, with a 24-month exemption route for laggards.

Ireland's Commission for Regulation of Utilities (CRU), the state body that regulates energy and water utilities, shut the comment window on EirGrid's Grid Code Modification MPID 345 on Wednesday 29 July, and says it will decide as a matter of urgency. That account reaches us through a regulatory digest published by the law firm Arthur Cox rather than from CRU directly 1.

MPID 345 sets the compliance and derogation framework for three technical obligations on transmission-connected demand facilities. Fault ride through requires a site to stay connected through a brief voltage dip instead of tripping to onsite backup generators. Robustness to RoCoF concerns the rate at which grid frequency changes. Active power recovery governs how quickly a site returns to normal draw once a fault has cleared. Operators unable to meet them can seek a derogation, a time-limited exemption, through a streamlined group route lasting 24 months and applied via a Demand Utilisation Threshold, a measure of how much of its connected capacity a site actually draws 2.

EirGrid and SONI, which operate the transmission grids in the Republic and Northern Ireland respectively, issued the fault-ride-through curtailment procedure itself on 30 June . MPID 345 is the compliance machinery arriving underneath it. A regulator that drafts a two-year escape hatch into a rule before the rule bites is telling you what it expects the queue of non-compliant operators to look like.

The distinction matters commercially. A campus that trips to diesel every time the grid wobbles is a liability the system operator must plan around; one that rides the dip is a customer. Ireland is now pricing that difference into the terms of connection rather than settling it at the admission gate.

Deep Analysis

In plain English

Ireland's power grid needs everything connected to it to behave predictably when something goes wrong, like a brief voltage dip. New rules from Ireland's grid operator, EirGrid, say data centres must be able to ride through these dips without suddenly switching off, because switching off a data centre that uses tens of megawatts is like flicking a giant switch that can destabilise the whole grid. The regulator, CRU, has just finished asking the public what they think, and is giving existing data centres up to two years to catch up if they cannot comply straight away.

Deep Analysis
Root Causes

The structural condition making this necessary is that fault-ride-through and rate-of-change-of-frequency rules were written for generators, not large, synchronised demand. Data centres drawing tens of megawatts can trip offline simultaneously during a grid disturbance, removing load faster than the system was designed to absorb, which is a different stability risk to a generator disconnecting.

The 24-month derogation exists because compliance requires hardware and control-system changes at facilities already built or under construction, a physical retrofit rather than a policy change alone; CRU cannot simply mandate instant compliance without risking forced facility shutdowns.

What could happen next?
  • Consequence

    Data centres unable to meet the new technical standards within 24 months face compliance risk to their existing Irish grid connections.

First Reported In

Update #12 · Ofgem prices the grid queue by the megawatt

Arthur Cox· 4 Aug 2026
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Causes and effects
This Event
Ireland writes the grid rules into contracts
Ireland is moving from deciding who gets connected to dictating how a connected site must behave, with a 24-month exemption route that anticipates operators who cannot comply.
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