Georgia officials divided over costs versus benefits of data centers
Georgia officials are divided over the economic benefits versus environmental and utility costs of data centers, particularly focusing on a large OpenAI project dubbed "Project Camilla" in Effingham County. While the project offers significant tax revenue and proposes water-saving measures, residents and some politicians express concerns about long-term costs and lack of transparency, with calls for a statewide moratorium.
A proposed 3.2-gigawatt data center from OpenAI, named Project Camilla, is planned for 1,400 acres in Effingham County, Georgia, with phases expected to complete in 2028 and 2032. Effingham County Manager Tim Callanan presented details of a payment-in-lieu-of-taxes agreement between the Effingham County Industrial Development Authority and OpenAI, which is projected to generate substantial annual revenue for the county and its schools, significantly reducing property taxes for residents.
Despite the economic incentives, residents, including local lawyer Kenneth Lak, voiced concerns during a four-hour meeting about potential hidden costs and long-term financial burdens related to the facility. U.S. Sen. Raphael Warnock (D-Ga.) called for a statewide moratorium on data centers, citing a lack of transparency and community partnership in decision-making, a sentiment echoed by Georgia Democratic gubernatorial candidate Keisha Lance Bottoms.
Conversely, Republican U.S. Rep. Mike Collins stated that data centers are local decisions and crucial for AI development but should not harm local infrastructure. Republican gubernatorial candidate Rick Jackson emphasized the need for data centers to provide clear local benefits, cover their costs, and meet environmental standards. The Georgia Public Service Commission has already adopted rules preventing technology companies from passing electricity costs to consumers, and OpenAI plans to use a closed-loop system for water conservation at the Effingham County site.