Federal rule change could allow faster data center builds

Federal rule change could allow faster data center builds

News ClipKiowa County Press·SD·5/23/2026

The Environmental Protection Agency (EPA) has proposed a rule change to the Clean Air Act that could accelerate data center construction nationwide, including in South Dakota. This change would eliminate the need for permits for non-emitting parts of projects, potentially making it harder to halt construction once developers have invested significantly. Environmental groups like the Natural Resources Defense Council oppose the move, viewing it as a deregulation that prioritizes developers over public health and environmental concerns.

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Gov: Environmental Protection Agency

The Environmental Protection Agency (EPA) is proposing a significant rule change to the Clean Air Act, a move that could substantially accelerate data center construction across the United States, with South Dakota cited as one region that would be affected. The proposed alteration would remove the requirement for developers to obtain a Clean Air Act permit before initiating contracts for non-emitting components of a project, such as foundational cement pads or other support structures.

John Walke, a senior attorney for the Natural Resources Defense Council (NRDC), voiced strong opposition, warning that this deregulation would make it more difficult for regulators and judges to halt projects once developers have committed millions of dollars. Walke asserted that the EPA explicitly stated its intent to undertake this deregulatory action to speed up the construction and operation of data centers nationally. The EPA, however, argues that current Clean Air Act permits have impeded economic development by delaying construction projects that, in their view, do not pose threats to human health or the environment.

The proposed rule change extends to all major sources of industrial pollution in the U.S., including hazardous waste incinerators and chemical plants. Walke contends that this move is consistent with a broader pattern of environmental protection rollbacks by the current administration, stating, "They have the power of deregulation at EPA and a mindset that technology companies and billionaires matter more than ordinary Americans." The public comment period for the proposed rule runs through the end of June, with the EPA aiming to finalize the new regulations by year-end, despite anticipated legal challenges.