Report: Kentucky well-positioned for data centers; Metro Council weighs approach
A report indicates Kentucky is well-positioned for data center investments but recommends implementing more regulatory guardrails. Concurrently, the Louisville Metro Council is debating data center development, with a reintroduced moratorium failing to advance in committee, even as a hyperscale data center project begins construction near Shively.
A report from the Kentucky Energy Planning and Inventory Commission suggests that Kentucky is an advantageous location for data center investments, citing favorable electricity rates and available land. However, the report also recommends that the state establish new regulatory measures to safeguard ratepayers.
In Louisville, the Metro Council is actively deliberating its approach to future data center development. Councilwoman Jennifer Chappell recently reintroduced a moratorium on data centers, stating its purpose is to allow the city more time to update its code to incorporate data center regulations. This proposal, however, did not advance during a planning and zoning committee meeting.
The debate occurs amidst the start of construction for a hyperscale data center off Camp Ground Road near Shively. Metro Councilman Anthony Piagentini expressed concerns that a moratorium would deter future development, highlighting the Camp Ground Road project's projected financial benefits, including $45 million in tax revenue for Jefferson County Public Schools (JCPS) and $10 million for the Metro Government. Piagentini affirmed the council's willingness to address legitimate concerns while cautioning against an "over reactionary" stance that could discourage businesses.