Developers eying tribal communities for new data center projects
Officials in Page, Arizona, approved a land sale to Huntley LLC for a 1-gigawatt data center, sparking opposition from local residents and the neighboring LeChee Chapter of the Navajo Nation due to concerns about water usage in a drought-stricken area. Multiple tribal communities across the US are now targeted by developers for data center projects, leading some, like the Seminole Nation, to enact moratoriums on development. The article highlights the complex interplay of economic opportunity, environmental concerns, and tribal sovereignty in data center expansion.
The city of Page, Arizona, near the Glen Canyon Dam, finalized a land sale agreement last fall with Huntley LLC for a 500-acre parcel intended for a 1-gigawatt data center. This development has ignited significant local opposition, particularly from the LeChee Chapter of the Navajo Nation, which borders the proposed site. Residents and tribal leaders, including LeChee Chapter President Irene Whitekiller, have expressed profound concerns about the immense water requirements for cooling data centers, especially given the region's severe drought conditions. A petition was launched, and the LeChee Chapter passed a resolution formally opposing the land sale and data center construction.
The article broadens its scope to discuss a growing trend of data center developers targeting tribal lands across the United States. Experts like Tana Fitzpatrick of the University of Oklahoma suggest that the often more pristine and less developed nature of tribal lands, coupled with their unique sovereign status, makes them attractive to developers seeking fewer regulatory hurdles. Ashley Leitka, director of sovereignty and self-determination at Honor the Earth, noted that some companies exploit the economic challenges faced by tribal nations.
In response to these developments, several tribal nations have taken action. The Seminole Nation of Oklahoma enacted a complete moratorium on data centers in March, and the Kickapoo Tribe of Oklahoma's Business Committee formally declared its opposition in July. The Cherokee Nation announced a ban on hyperscale data center development on tribally owned and trust lands in August. Conversely, some entities, like Colusa Indian Energy and the U.S. Department of Energy's Office of Indian Energy Policy and Programs, are exploring how data centers could provide economic opportunities and jobs for tribal communities.
As state and local governments elsewhere tighten regulations and rescind tax breaks for data centers, tribal lands are increasingly viewed as an easier alternative. Microsoft, for example, has a proposed data center project near the Pyramid Lake Paiute Reservation in Fernley, Nevada. Many tribal leaders are now advocating for further studies and considering moratoriums to assess the full impacts of these projects, emphasizing the diverse governance and priorities of each sovereign tribal nation.