
After 3 years in Kentucky, a bitcoin mine fuels a battle over a 50-megawatt data center
Hopkinsville, Kentucky, is debating its first data center zoning rules after residents discovered an existing bitcoin mine and a new 50-megawatt data center proposal from North Campbell Land Co. The proposed regulations include caps on facility size and power, along with buffer distances. Residents are pushing for stronger protections, citing concerns about noise, electricity, and water, while the developer argues the rules are too restrictive.
Hopkinsville, Kentucky, is currently engaged in a heated debate over its first set of zoning regulations for data centers, spurred by the long-standing, low-profile operation of a 15-megawatt bitcoin mining facility at Hopkinsville Electric System's Holland Substation. The facility, owned by North Campbell Land Co. (NCLC), has operated for three years, and NCLC has now proposed a significantly larger 50-megawatt data center elsewhere in the city, complete with a self-funded 65-megawatt substation.
Community and Development Services recently held a public hearing at Hopkinsville Community College to gather input on the proposed zoning amendment. The current draft aims to classify cryptocurrency mining as a distinct land use, capping large-scale facilities at 75 megawatts and 50,000 square feet, and outright banning hyper-scale centers. It also proposes buffer distances of 300 to 1,000 feet from residential areas or public properties, with existing operations receiving grandfathered status.
While Hopkinsville Electric System general manager Jeff Hurd noted the financial benefits data centers provide by helping to offset costs for residential customers, residents voiced strong opposition. Concerns were raised about noise pollution, high electricity consumption, strain on the electric grid, potential air pollution from backup generators, and impacts on local water supplies like the Little River and Lake Barkley. Residents like Sherry Byerline and Becca Hostilo called for stronger protections, including requiring closed-loop water systems and potentially capping the number of data centers.
Conversely, NCLC representative Thomas Masiero stated no noise or water complaints had been filed against their existing facility, and NCLC attorney Robert Ison argued the draft ordinance is overly restrictive, particularly regarding setbacks, warning it could effectively ban data centers from Hopkinsville. The drafted amendment will now be sent to the City Council for final approval.