Atmosphere Data Centers withdraws challenge to Elrich’s permitting moratorium
Atmosphere Data Centers withdrew its legal challenge to an initial six-month data center moratorium in Montgomery County, Maryland, after the County Council enacted a new 18-month moratorium. The company is also seeking a continuance for its 360-megawatt data center campus conditional use application, which is currently pending before the hearing examiner. Local residents and environmental advocates have raised concerns about the project's impact on climate goals, water usage, and power needs.
Atmosphere Data Centers, a California-based company, has withdrawn its challenge to a six-month permitting moratorium on data centers enacted by Montgomery County Executive Marc Elrich. This action follows the unanimous approval by the Montgomery County Council of an 18-month moratorium on data center development on July 28, rendering Elrich's earlier executive order moot.
The company's spokesperson, Kris Warner, indicated that the appeal of a zoning interpretation related to the initial moratorium was no longer necessary to achieve Atmosphere Data Centers' project goals. Despite withdrawing the challenge, Atmosphere Data Centers CEO Chuck McBride expressed disappointment with the council's decision, emphasizing their collaborative efforts to develop a sustainable data center campus in Dickerson.
Simultaneously, Atmosphere Data Centers is seeking a continuance for its conditional use application for a proposed 360-megawatt data center campus. The application is scheduled for review by the county's hearing examiner on November 12 and 13, but the continuance has not yet been granted. The project, slated for the site of a former coal-fired power plant and owned by Florida-based Terra Energy, has faced significant opposition from county residents, environmentalists, and agricultural advocates, who have voiced concerns regarding climate goals, water usage from the Potomac River, power demands, and potential impacts on utility costs. The hearing examiner previously approved an initial application from Terra Energy, but Atmosphere's amended plan is now under consideration.