Opinion | Let's figure out if data centers are worth the cost

Spencer Black, a former state legislator, argues that Wisconsin should carefully evaluate the costs and benefits of new data centers before allowing further construction, citing the adage "Look before you leap." He notes that artificial intelligence is driving a boom in data center development, with companies like QTS Data Centers, previously unsuccessful near DeForest due to public resistance, and Meta, which is building a facility in Beaver Dam Commerce Park, targeting Wisconsin. The article emphasizes the astounding energy and water demands of these projects; for instance, two proposed data centers in southeastern Wisconsin alone would consume more electricity than all current Wisconsin households combined. Black raises concerns about the origin of this energy, who will bear the costs, and the environmental impact of new power plants and transmission lines needed. He also questions the sustainability of the current data center boom, suggesting a potential market oversaturation that could leave Wisconsin with obsolete and potentially toxic abandoned facilities. While construction companies and unions are keen on the jobs, Black points out that data centers create relatively few permanent positions. Similarly, despite hopes for tax revenue, massive tax breaks offered by state and local governments could limit or negate financial benefits. A coalition of Wisconsin organizations supports a proposed moratorium on new data centers, with similar legislation considered in Minnesota and at the federal level, advocating for regulations to protect the environment, electric consumers, taxpayers, and local communities.