Tech company discusses plans for 'AI factory' in Schuylkill County amid residents' concerns
Nebius AI plans to build two "AI factories" in Butler Twp., Schuylkill County, Pennsylvania, with a $13-15 billion investment. Despite the company's transparency efforts at an open house, residents expressed concerns about job creation, environmental impact, and water usage. The site is already zoned for data centers, so no further zoning permission is required.
Nebius AI, an Amsterdam-based tech company, plans to construct two "AI factories" in Butler Township, Schuylkill County, Pennsylvania, representing a $13-15 billion capital investment. The company held an open house at North Schuylkill High School to engage with the community, emphasizing its commitment to responsible development and transparency, a contrast to other data center projects. Nebius purchased 600 acres in the Highridge Industrial Park from NorthPoint Development, a site already zoned for data centers under the township's data center overlay, negating the need for further zoning permission. The project is expected to generate 1,000 construction jobs and 100-150 full-time positions.
Despite Nebius's proactive engagement and assertions of being a community partner, approximately 50 residents attended the open house to voice concerns. Linda Butensky, a resident of Schuylkill Haven, questioned the necessity of such extensive AI infrastructure and its potential impact on local quality of life. Ellie Siegfried from Orwigsburg expressed apprehension about the industry's long-term sustainability. Other worries included environmental safeguards, water usage, and stormwater runoff, particularly from the cleared state game land.
Nebius Vice President of Public Affairs John Sutter highlighted the facility's design to minimize water usage through a closed-loop cooling system, claiming water consumption comparable to an office building for domestic use. He also addressed electricity concerns, noting the site's proximity to PPL Electric Utilities' power lines and the company's commitment to cover infrastructure upgrade costs. Sutter explained that Nebius's "AI factories," used for AI training and model running, can be paused during power outages, unlike traditional data centers, and stressed the company's financial contributions to local education and tax revenue, while reiterating their policy against non-disclosure agreements regarding end-users.