Advocates, accusing Pritzker of ‘lack of engagement,’ urge passage of state data center rules soon
Environmental advocates are urging Illinois lawmakers to pass the POWER Act, which would increase transparency and regulate data centers' water and energy use, before the legislative session concludes. They express concern over Governor JB Pritzker's perceived inaction on the bill, despite his prior proposals for energy sourcing and a tax credit pause for data centers. The statewide legislation aims to address community concerns about data center impacts and lack of public input, with similar local projects having generated significant opposition.
Environmental advocates are intensely lobbying Illinois lawmakers to pass the POWER Act, a comprehensive bill aimed at regulating data centers' water and energy consumption and increasing transparency, as the legislative session nears its end. Kady McFadden, lead lobbyist for the Illinois Clean Jobs Coalition, expressed confusion and concern over Governor JB Pritzker's "lack of engagement" on the issue, despite his earlier calls for electric grid operator PJM Interconnection to require data center developers to fund their own energy and his proposal for a two-year pause on state tax credits for new data centers.
The proposed POWER Act would prohibit nondisclosure agreements between governmental units and data centers, mandate community benefits agreements, require public water-use reports and environmental impact assessments, and oblige developers to build their own renewable energy generation facilities. The urgency stems from a significant increase in data center interest in Illinois, with Commonwealth Edison reporting nearly 100 large-load projects in its northern Illinois queue. Locally, data center proposals have been approved in Sangamon County, Joliet, and Yorkville, often amidst resident opposition, though some projects in Pekin and Naperville have been halted due to public outcry.
Despite bipartisan concerns about water usage, energy prices, and a lack of transparency, the POWER Act has seen limited legislative action beyond subject matter hearings. Rep. Jed Davis (R-Yorkville) filed House Bill 5755, which would require public notice and hearings for proposed data centers and allow residents to trigger referendum votes, inspired by constituents who felt silenced during project approvals in Yorkville. While the data center industry, represented by Brad Tietz of the Data Center Coalition, has indicated openness to regulation, it seeks voluntary rather than mandatory compliance on issues like renewable energy and water use reports. Climate Jobs Illinois, while supporting the bill's goals, has concerns about union labor standards for renewable projects and opposes the tax credit pause.