Nebraska counties weigh data centers as public power debate grows
More than a dozen Nebraska counties are implementing or considering moratoriums on data center construction to address concerns about water and electricity usage and update zoning rules. This comes as a new state law, signed by Gov. Jim Pillen, allows private developers to build their own power generation for large facilities, a move that is both supported for shifting infrastructure costs and opposed for potentially weakening the public power system.
As data center expansion intensifies in Nebraska, over a dozen counties are either approving or considering temporary moratoriums on new data center construction. These measures aim to allow local jurisdictions to update zoning regulations and address escalating concerns regarding the substantial water and electricity demands of these facilities. John Hansen, president of the Nebraska Farmers Union, highlighted that communities seek more information, expressing unease about the potential impact of these "mega users of electricity" on existing public power customers.
Simultaneously, a new state law, enacted earlier this year by Gov. Jim Pillen, is facilitating data center development by permitting private developers to construct their own power generation infrastructure for large facilities. Supporters argue this law ensures developers, not utility customers, bear the cost of new infrastructure. Conversely, opponents, including the Nebraska Farmers Union, contend that it weakens the state's public power system. Hansen specifically criticized a provision that removes public power's eminent domain authority to acquire privately owned electric generation facilities exceeding 1,000 megawatts. To aid counties in navigating these complex new laws and future data center proposals, the Nebraska Association of County Officials is currently developing a comprehensive land-use permitting toolkit.