San Jose residents push for data center moratorium
San Jose residents are advocating for an immediate moratorium on new data center developments, citing concerns about potential strain on local water and power infrastructure and environmental harms. While the city drafts new review standards, critics worry that some projects might proceed without sufficient safeguards. City officials, however, argue that the lengthy permit process will ensure new standards apply to most projects and emphasize the economic benefits data centers bring.
San Jose residents are pushing the city to enact an immediate moratorium on new data center developments, expressing concerns that a surge of projects could overwhelm local water and power infrastructure and cause environmental damage. The demand comes as San Jose officials work on new local review standards for data centers, expected to address issues like air quality, noise pollution, greenhouse gas emissions, and public outreach, with a package anticipated to go before the City Council in December.
Critics, including Alice Kaufman, policy and advocacy director with Green Foothills, argue that without an immediate halt, developers have a "perverse incentive" to rush applications before new safeguards are in place. They point to other jurisdictions like New York state and Oakley, California, that have recently enacted moratoriums. Residents, particularly those in areas like Alviso, fear increased electricity demands could lead to blackouts and higher power rates from PG&E's aging infrastructure.
City officials, including Erica Garaffo from the City Manager's Office, counter that the protracted permit approval timeline for data centers makes it unlikely that new applications would bypass the forthcoming standards. Mayor Matt Mahan supports "well-regulated" data center development, highlighting the potential for significant economic contributions through utility and property taxes, estimating $3 million to $7 million annually per large data center. District 4 Councilmember David Cohen also cautioned against the economic disruptions a sudden moratorium could cause.
The Data Center Coalition, an industry trade group, also voiced opposition to a moratorium, suggesting it would deter investment. Spokesperson Khara Boender stated that communities should collaborate with the industry to establish reasonable regulatory frameworks instead of imposing moratoriums that signal a closed business environment. The city plans community listening sessions, with the first on August 19, to gather feedback on the proposed standards.