New Mexico Lawmakers Push for Data Center Pause

New Mexico State Representatives Micaela Lara Cadeña and Angelika Rubio are urging fellow legislators to enact a statewide moratorium on new data center construction. An opinion piece published in the Las Cruces Sun-News supports this call, questioning the economic benefits of data centers, which are criticized for creating few permanent jobs despite substantial capital investment and tax revenue. The article highlights the strain on New Mexico's limited natural resources, particularly electricity and water, noting that "utility demand" is not always a positive in a desert environment.

The piece cites Meta's Los Lunas data center as an example, acknowledging its $2.5 billion investment and over 300 full-time workers, but arguing that this job count is minimal relative to the costs, including tax breaks and resource depletion. It also references New York's existing moratorium on hyperscale data centers and Pennsylvania Governor Josh Shapiro's recent implementation of stringent regulations limiting electricity and water usage for new data center projects. The author criticizes an unnamed "Jupiter" project's proponents for an "extensive campaign of lies and misstatements" regarding aspects like fuel cells and potable water claims, arguing that such dishonesty undermines the credibility of developers and necessitates governmental verification.

The article concludes by advocating for a temporary moratorium of about a year, which it suggests would allow the state to thoroughly understand the public costs, contributions, and risks associated with enormous AI facilities, enabling more intelligent negotiations. It posits that a moratorium is particularly crucial for New Mexico due to its scarce water, electricity infrastructure, and the potential for preferential treatment of large AI data centers.