Pocatello rejected a data center in May. This week, it might reconsider

The Pocatello City Council is preparing to review an appeal on July 16 for a $2.6 billion data center project proposed by Lex Developments, which the city's hearing examiner initially denied on May 14. The denial was based on Lex Developments' failure to demonstrate that the project would not negatively impact the community's health, safety, or welfare. This decision unfolds amidst increasing public opposition to data center developments across Idaho, Utah, and the broader U.S., driven primarily by environmental concerns.

Josh Johnson, Central Idaho Director for the Idaho Conservation League, has voiced significant worries regarding the unprecedented energy consumption of data centers, citing the Stratos data center in Box Elder County, Utah, which is projected to require over 7 gigawatts of energy. Water usage is another critical concern, particularly in arid states like Idaho, where a medium-sized data center can consume as much water as a large golf course. In response to these environmental impacts, Idaho’s Legislature recently passed a law mandating closed-loop water systems for data centers, or requiring them to source cooling water from municipalities rather than groundwater, a measure Johnson views as a positive initial step. However, Johnson also criticized the state's continued offering of tax incentives for data centers, advocating for their elimination and stricter regulation, even though legislation to end these incentives failed this year.