Lawmakers discuss data centers at Nevada Legislature

Nevada lawmakers convened a special meeting to address the growing concerns surrounding data center development within the state. The discussions covered a broad spectrum of issues, including policy trends, water and power demands, infrastructure impacts, grid regulation, and environmental and cultural considerations. Advocates, led by Olivia Tanager, executive director of the Sierra Club Toiyabe Chapter, emphasized the substantial electricity and water consumption by data centers, asserting that current policies do not ensure transparency, accountability, or fair cost distribution. Tanager urged legislators to pass comprehensive legislation setting clear standards and implementing measures such as a "large load tariff." This tariff would place data centers into their own rate class, preventing utility costs from being passed on to residential ratepayers and small business owners. She highlighted that even data centers not using evaporative cooling still consume significant water, and their power generation, including reliance on backup diesel generators, contributes to air quality problems in Nevada. Northern Nevada is currently experiencing the most intense data center growth, though southern Nevada is also affected. The Sierra Club has also been active with the Public Utilities Commission, advocating for the Clean Transition Tariff (CTT), a unique program allowing data centers to opt into 100% renewable energy. Tanager noted that companies like Google are already utilizing the CTT. Advocates view the upcoming 2027 legislative session as a critical opportunity to enact these regulatory changes, warning that without them, Nevada ratepayers will bear the financial burden.