Data centers have become a political issue. Here's where the gubernatorial candidates stand.
Ohio's gubernatorial candidates, Vivek Ramaswamy and Amy Acton with David Pepper, have different plans to regulate data centers amidst rapid expansion and growing concerns. Key issues include environmental impact, water and energy usage, and state tax incentives given to these facilities. Lawmakers have also attempted to reduce tax breaks for data centers.
The race for Ohio governor sees leading candidates Vivek Ramaswamy (Republican) and Amy Acton, with running mate David Pepper (Democrat), outlining distinct strategies to regulate data centers, which have become a contentious political issue due to their rapid expansion.
Ramaswamy advocates for attracting data centers that utilize advanced, water-efficient technology, stating that the state should not offer incentives to companies using outdated, water-guzzling technology. He emphasizes the need for data centers to bring their own energy supply if they are high demand users, while protecting agriculture and water resources. His stance is against a total ban, seeing a necessity for data storage and processing.
Acton and Pepper, representing the Democratic ticket, take a more hard-line approach, asserting that Ohioans should not incur additional costs for energy, infrastructure, or taxes due to data center developments. Pepper stated that an Acton-Pepper administration would immediately work to impose major changes, including banning non-disclosure agreements with public officials and preventing environmental pollution. Both candidates criticized the extensive tax breaks, reportedly totaling $1.6 billion, given to data centers. Lawmakers previously attempted to pass legislation to reduce these tax breaks but did not succeed before the summer recess. Libertarian candidate Don Kissick also expressed opposition, citing concerns over surveillance, massive electricity and water consumption, environmental impact, and the use of productive farmland.
The debate highlights bipartisan outrage over the Ohio EPA's proposal to permit data centers to discharge wastewater into public bodies, with Acton specifically criticizing the idea that billion-dollar companies should operate with fewer environmental rules at the expense of Ohio families.