Data center tax incentives debate in Georgia

Connie Di Cicco, Legislative Director at Georgia Conservation Voters, highlighted ongoing concerns regarding the significant growth of the data center industry in Georgia and the substantial tax incentives provided by the state. She emphasized that while her organization is not against data centers and believes they can contribute to Georgia's economic growth, the state is "giving away a lot to a billion dollar corporate industry." Georgia provides an estimated $2.5 billion annually in tax incentives to data centers, despite studies suggesting 70% of these facilities would locate in Georgia even without the incentives. Di Cicco pointed out the immense environmental impact of data centers, specifically their "tremendous amounts of water and energy" consumption. This consumption is particularly problematic as Georgia Power projects a need for an additional 10 gigawatts, primarily for data centers, which would necessitate bringing back online fossil fuel sources like coal plants that were slated for retirement. She warned that if these energy contracts are unfulfilled, the energy burden would largely fall on ratepayers rather than the data centers themselves. Addressing the argument that tax incentives create jobs, Di Cicco countered that data centers typically create fewer permanent jobs than a McDonald's once built, with most job creation limited to the initial construction phase. Georgia Conservation Voters advocate for legislative changes focusing on ratepayer protections, ensuring those who cause the energy burden pay for it, and increased transparency regarding data center operations to foster statewide collaboration and sustainable growth.