
Data center debate heats up in Pocatello, Idaho
Pocatello's City Council will hear an appeal for a previously denied $2.6 billion data center proposal this week. The initial denial was based on concerns about community health, safety, and welfare, with widespread opposition citing the project's high energy and water consumption. Environmental groups highlight the unprecedented energy use of data centers and significant water demands in drought-prone Idaho.
The Pocatello City Council is scheduled to hear an appeal on July 16 for a $2.6 billion data center proposal that was initially denied in May. The project, proposed by Lex Developments for a former polysilicon plant site, faces significant opposition primarily due to concerns over its environmental impact.
Pocatello’s hearing examiner previously rejected the proposal, stating Lex Developments failed to demonstrate the project would not harm the community’s health, safety, or welfare. Josh Johnson, central Idaho director for the Idaho Conservation League, emphasized the “unprecedented” energy consumption of data centers, citing an example in Utah that is projected to use more than twice the state's current total energy. Water consumption is also a critical concern, especially in a state like Idaho prone to extreme drought.
Despite ongoing debates, Idaho’s Legislature recently passed a law mandating closed-loop water systems for data centers, which reduces water usage compared to evaporative systems. Data centers not using these systems must source water from public utilities. Johnson praised this as a positive initial step, noting constituents' concerns. However, legislation to end state tax incentives for data centers failed this year, which Johnson hopes will be revisited, arguing companies can afford to develop without subsidies and require better regulation.