Colorado localities implement data center moratoriums; New Mexico and Utah also address hyperscale development
Local governments in Colorado, including Denver, Jefferson County, and Longmont, are enacting moratoriums on new data center development. This action is a response to public backlash concerning rising electricity prices, pollution, and tax breaks, following inaction at the state level. Neighboring states like New Mexico and Utah are also grappling with the environmental impact of hyperscale data centers.
The article reports on the growing trend of local governments in Colorado enacting moratoriums on new data center development due to public discontent. This backlash stems from concerns over rising electricity prices, significant pollution, and generous tax breaks offered to data center operators. Denver, Jefferson County, and Longmont are cited as specific examples of localities that have recently moved to restrict data center construction.
This local action follows a period of perceived "state inaction" on the issue, pushing individual municipalities to address the challenges posed by these high-energy-consuming facilities. The demand for data centers is escalating rapidly due to the exponential growth of artificial intelligence, leading to an increasing strain on resources.
The phenomenon is not exclusive to Colorado; neighboring states like New Mexico and Utah are also contending with the impacts of "hyperscale" data centers, which are characterized by their enormous electricity and cooling water demands, and are often seen as "data polluters." The article mentions an Oracle "Project Jupiter" site under construction in Dona Ana County, New Mexico, as an example of such a development.