Data center moratoriums spreading
At least 11 North Carolina counties and 17 towns have enacted data center moratoriums, typically for one year, due to increasing public pushback. Other localities are adopting specific regulations for data centers or considering proposals, while concerns about power capacity and regulatory policy are also highlighted. Opposition efforts often involve environmental and citizen groups.
An increasing number of North Carolina counties and towns are enacting data center moratoriums, with at least 11 counties and 17 municipalities implementing temporary pauses, often for a year. This trend stems from growing public pushback against data center facilities.
Beyond moratoriums, some jurisdictions like Lee County, Sanford, and Weaverville are integrating specific data center regulations into their Unified Development Ordinances or classifying them as restricted uses. However, a project in Stokes County was approved despite local opposition and a lawsuit, while Vance and Edgecombe counties have considered proposals without enacting moratoriums. Campaigns advocating for these moratoriums include environmental groups, citizen-led organizations, and notably, the Party for Socialism and Liberation (PSL).
Colton Overcash, founder of the newly formed Vertex Strategies, attributes the public's wariness to data center developers failing to adequately engage with communities and underestimating political risk. He emphasizes that local power capacity is a critical factor determining project viability, and communities vary widely in their ability to meet rising electricity demand. Overcash also noted that legislative efforts, such as the Ratepayers Protection Act and state budget provisions repealing electricity tax exemptions for 'hyperscalers,' impact the cost and capacity discussions.
Specific examples of enacted moratoriums include Clay, Gates, Chatham, Rowan, Swain, Orange, Harnett, Northampton, Durham, and Davie counties, as well as the Eastern Band of Cherokee Indians. Numerous towns such as Brevard, Canton, Kings Mountain, Boone, Apex, Wendell, Woodfin, Charlotte, Durham, Fayetteville, Spring Hope, Boiling Spring Lakes, Holly Springs, Hillsborough, Asheville, and Franklin have also implemented moratoriums, with durations ranging from 150 days to indefinite periods, predominantly set for one year.