Energy analyst: Data center moratoriums scare off developers
Fort Collins and Littleton approved six-month moratoriums on new data centers as officials consider regulations addressing water use, electricity demand, infrastructure, noise and air quality. An energy policy analyst said Colorado’s growing number of local bans could discourage developers from building in the state.
Fort Collins and Littleton have approved temporary moratoriums on new data center development, joining at least 16 Colorado local governments with similar restrictions, including Denver. Fort Collins’ moratorium runs through April 6, 2027, while Littleton’s ordinance allows the City Council to end the ban early if it adopts data center regulations within six months. Officials in both cities said they have no pending data center applications.
Fort Collins officials cited concerns about water and electricity use, lighting, noise and limited available land. Littleton officials said the pause will allow the city to assess impacts and establish standards related to energy, water, infrastructure, noise and air quality. Sarah Montalbano of the Denver-based Independence Institute said the moratoriums may deter developers, while arguing that Colorado should regulate projects individually rather than broadly preventing development. She also cited uncertainty over the state’s electricity supply and possible future clean-energy requirements as additional challenges for developers.