A Jackson data center: Threat or opportunity?
A developer is exploring building a new AI data center in Jackson, Mississippi, which has sparked significant public opposition and protests. The project's potential impacts on electricity and water usage are being debated, with proponents arguing it would not strain local resources and could provide substantial tax revenue.
A proposal for a new artificial intelligence data center in west Jackson, Mississippi, has ignited a wave of public opposition. Jackson City Councilman Ashby Foote emphasized the need for a calm and rational discussion, despite opponents traveling hours to a City Council meeting to express their concerns.
The article highlights the unprecedented capital investment boom in AI data centers across the U.S. While acknowledging the two main public concerns—electricity and water usage—it clarifies that the proposed Jackson facility would use enclosed natural gas engines operating off the local grid, thus having no impact on local electricity rates or availability.
Regarding water, the report states that Jackson's primary source, the Ross Barnett Reservoir, boasts 146 billion gallons and is continuously fed. JXN Water's two plants are fully operational with capacity to produce 50 million gallons daily, and the city's water challenges are financial, not capacity-related, suggesting a high-usage customer could be beneficial.
Furthermore, the article stresses the significant ad valorem tax revenue potential from such a large-footprint AI data center. It cites Amazon's data center investment in Madison County as an example, projecting $60 million annually for the first decade and $120 million for the subsequent decade in county, city, and school taxes, demonstrating a substantial financial opportunity for Jackson.