Starwood appeal day two, DNREC Secretary defends nix on application

Starwood appeal day two, DNREC Secretary defends nix on application

News ClipDelaware Public Media·DE·3/26/2026

Starwood Digital Venture is appealing DNREC's denial of its data center plan in Delaware. DNREC Secretary Greg Patterson defended his decision, citing the Coastal Zone Act and the project's potential environmental impact within Delaware's coastal zone. The Coastal Zone Industrial Control Board is reviewing the appeal and will hear closing arguments.

environmentallegalgovernment
Gov: Delaware Department of Natural Resources and Environmental Control, DNREC Secretary Greg Patterson, Coastal Zone Industrial Control Board
The Coastal Zone Industrial Control Board is currently hearing an appeal from Starwood Digital Venture regarding the Delaware Department of Natural Resources and Environmental Control (DNREC) Secretary Greg Patterson's denial of their data center application. Starwood's legal representative, Jeff Moyer, argued that Secretary Patterson improperly applied terms like "tank farm" and "smokestack" to the data center project, contending that data centers are not specifically regulated or defined under Delaware's 1971 Coastal Zone Act (CZA). Secretary Patterson, however, defended his decision, stating his role is to protect the Delaware coastal zone and reduce environmental impact. He emphasized that while data centers weren't anticipated when the CZA was written, the Act is meant to be applied liberally to protect the area. He referenced legal precedent, Coastal Barge Corp. v. Coastal Zone Indus, to support his interpretation. Patterson classified Starwood's proposed multi-billion dollar data center, the largest ever for Delaware, as heavy industrial use, justifying his denial based on its potential to pollute. The board is expected to hear closing arguments and public comment before rendering a decision.