Internet Activity: Energy Use

Viscount Stansgate Excerpts

Monday 27th January 2025 Lords Chamber

Asked by

[Viscount Stansgate]

To ask His Majesty’s Government what assessment they have made of the amount of energy used in internet activity, and in particular in mining cryptocurrencies.

[The Minister of State, Department for Energy Security and Net Zero (Lord Hunt of Kings Heath) (Lab)]

My Lords, the National Energy System Operator has estimated that data centres consume around 2.5% of the UK’s electricity. The UK is not a major centre for cryptocurrency mining. We estimate the share of power consumed in the UK for this purpose to be negligible.

[Viscount Stansgate (Lab)]

I thank my noble friend for that Answer. I do not know whether the House quite realises the staggering quantities of energy involved in normal internet activity and, in particular, in crypto mining. It has been estimated that the usage is approximately the same as that of a mid-sized European country, such as the Netherlands or Denmark. How much of this activity is based in the UK? Who is doing it and where? Does my noble friend agree that it has an adverse impact on carbon emissions and brings with it electronic waste? Will he agree to undertake an assessment of the potential adverse effects on carbon emissions of internet activity and, in particular, of crypto mining, so that we can have an honest discussion about the future and the effect of this on our climate change objectives?

[Lord Hunt of Kings Heath (Lab)]

My noble friend is right to raise this important question. I should say that the Government keep this under review. In fact, we reckon that only 0.2% of global crypto mining takes place in the UK. The International Energy Agency has estimated that, in 2022, 2% of total global energy demand came from data centres, cryptocurrencies and AI. It expects that to double by 2026. However, it makes the point that it expects that doubling to be met by an increase in clean energy sources. The lesson here for us is that we need to power on with our aim to get to clean power by 2030.