State and local opposition to new data centers is gaining steam

Meanwhile, Meta is airing a television ad in markets across the country in which a longtime resident of Altoona, Iowa, congratulates the company on opening a data center in the city, saying it has brought different types of jobs there, according to AdImpact, an advertising tracking company.

In a statement to NBC News last month, Dan Diorio, vice president of state policy for the Data Center Coalition, an industry advocacy group, highlighted the jobs, tax revenue and economic development linked to data center growth, adding that the industry “is committed to paying the full cost of service for the energy it uses, including transmission costs.”

The new Data Center Watch study found that key projects have been blocked or delayed in Indiana, Kentucky, Georgia and South Dakota, among other states. Researchers tracked “active opposition efforts” in 17 states, with 53 different groups taking action against 30 projects. These opposition groups managed to block or delay two out of three projects they had protested against, the report said, “underscoring the growing impact of organized local resistance.”

“The opposition is multi-party and geographically mixed,” the researchers wrote. “Blue and red states are tightening rules or rethinking incentives; lawmakers in places like Virginia, Minnesota and South Dakota are examining subsidies, grid impacts and local governments, often cutting across traditional party lines.”

“As development grows and media attention intensifies, local groups learn from each other,” the researchers added. “Petitions, public hearings and grassroots organizing are reshaping approval processes, particularly in Indiana and Georgia. »

The report’s authors caution, however, that such organized opposition cannot exclusively explain project delays, noting that multiple dynamics played a role. That said, the authors write: “Political, regulatory, and community opposition is accelerating in scale and frequency. »

And the authors noted that tax incentives for data centers are also starting to be phased out.

“Lawmakers are increasingly questioning the value of data center subsidies, citing concerns about energy consumption, equity, and impact on infrastructure,” the authors write.

Political leaders have only recently become aware of the opposition. A Pennsylvania official, speaking on the condition of anonymity to discuss the issue candidly, said he has seen opposition to data center plans sprouting in Cumberland and York counties.

“I disagree on data centers because I don’t believe in curbing technology. I don’t support degrowth. We should build big things,” this person said, adding, “I think the economic promise of data centers is murky at best for the places that install them.”

This person said opposition to the plans “is entirely grassroots driven.”

“People are really upset,” this person said. “They say, ‘I’m sick of this shit. I’m not getting anything out of it.’ And I think people are a little freaked out by AI. I worry that people are a little blind to the public animosity.