Lowndes County advocates question Project Red Clay data center’s water use and tax incentives
Lowndes County environmental advocates questioned Project Red Clay’s projected water use, 1,500-megawatt electricity demand and proposed tax incentives for a hyperscale data center. Despite the concerns, the Lowndes County Commission later approved Cloverleaf’s data center deal, including a 20-year, $2.4 billion tax incentive package.
Residents and environmental advocates in Lowndes County gathered before a commission meeting to discuss Project Red Clay, a proposed hyperscale data center. Southern Environmental Law Center attorney Ryan Anderson and Alabama Rivers Alliance representative Charles Miller raised concerns about the facility’s projected 1,500-megawatt power demand, water consumption, environmental effects and the value of forgiving taxes in one of Alabama’s poorest counties.
Protect Lowndes County also heard from Wisconsin residents who opposed a separate Oracle data center proposal, using their experience to encourage local organizing and media scrutiny. Advocates argued that Alabama lacks comprehensive water-withdrawal permitting and that the project could expose residents to significant infrastructure and financial risks.
The Lowndes County Commission subsequently approved a surprise motion accepting Cloverleaf’s data center deal. The agreement provides project planners with a 20-year tax incentive package valued at $2.4 billion, despite the concerns raised by local environmental advocates.