Why There's A Growing Opposition to Data Centers Across Rural America

Across rural America, a growing coalition of residents and lawmakers in states like Wyoming, Maine, and Montana are pushing back against the rapid expansion of data centers. Their primary concerns revolve around the intensive water and electricity demands of these facilities, as well as the potential impact on local utility rates and environmental resources. In Wyoming's Laramie County, the Cheyenne Area Landowners Coalition, active since 2015, has pivoted from monitoring oil and gas development to scrutinizing data centers. Member Alex Bowler highlights fears over water protection, especially given that the state engineer has designated eastern Laramie County a water control area due to shortages. The coalition is also seeking assurances from High West Energy, a local cooperative, that power rates for existing members will not substantially increase. High West Energy CEO Jared Routh confirmed the challenge of managing unprecedented demand from data centers while requiring developers, including current cryptocurrency mining operators, to cover all infrastructure costs upfront to protect ratepayers. Paul Bonifas, director of 9H and GeneCo Datacenters and co-host of a data center summit in Jackson, argues that data centers bring stable power loads, significant tax revenue, and that new closed-loop systems are not water-intensive. Opposition efforts are also shaping state politics. Montana State Rep. Scott Rosenzweig, a Bozeman legislator, has made data center impacts a centerpiece of his campaign, advocating for a four-year moratorium on development. He raised concerns about NorthWestern Energy's engagement with data center corporations and called for greater transparency and understanding before approving such projects. Similarly, in Maine, the state Senate is considering an 18-month moratorium on large data center construction (20 MW or more), following its passage in the House. This measure, introduced by Rep. Melanie Sachs, aims to provide time to assess environmental and electricity grid impacts. Seth Berry, executive director of Our Power, a Maine consumer advocacy group, warns that data centers consume resources without proportionate job creation and urges communities to "trust but verify" developers' claims, citing concerns over outdated zoning codes and the potential for abandoned facilities.