Ibec called on the government to tackle the challenges of energy supply in order to avoid economic barriers for Irish businesses.
It comes after EirGrid warned that it would not be able to generate enough electricity in the coming years to meet a rapid increase in demand.
The energy supplier said emergency measures are needed to secure the country’s electricity supply.
Ibec CEO Danny McCoy said energy constraints are a major concern for businesses in Ireland.
âIf not resolved, it will greatly undermine our national competitiveness, the climate agenda and our attractiveness for foreign investment.
“The need to keep a higher carbon and more expensive plant operational for longer than expected represents a policy and planning oversight that must be resolved quickly,” Mcoy said.
âIndustry-targeted restrictions or blanket bans on any kind of development, including data centers, should be avoided.
âThe next capacity auctions will be crucial and must send a clear signal in favor of investments in modern and efficient gas-fired power generation to support the decarbonization of the grid.
âThe revision of the National Development Plan and the updated Climate Action Plan must support investments in essential natural gas infrastructure and new renewable productions to support the transition. “
Environment, Climate Action and Communications Minister Eamonn Ryan said electricity supply was limited, but added the government would be able to manage it.
He expressed confidence that there will be additional back-up supplies, with discussions underway with companies on how much electricity Ireland needs.