Maryland Data Centers: Fact-Checking the Tech Council
An article fact-checks claims made by the Maryland Tech Council regarding the economic, water, and electricity impacts of data centers, finding discrepancies in the council's citations and interpretations. It highlights issues with revenue projections for the Quantum Frederick campus, electricity cost allocations affecting Maryland ratepayers, and comparisons of water usage. The Maryland Office of People's Counsel has filed a complaint with FERC over PJM Interconnection's cost-allocation plan.
A Miner Detail reviewed the Maryland Tech Council's "myths versus facts" page on its Data Center Alliance website, which cites various sources to support claims about data centers' benefits and minimal impacts. Tech Council CEO Kelly Schulz presented figures during a podcast appearance, aiming to clarify the data center debate.
The review found that some of the Tech Council's citations were independent, particularly regarding water sourcing. For example, a Virginia legislative report indicated data centers use minimal water compared to statewide withdrawals. However, the Tech Council's electricity claims relied partly on an Amazon-commissioned study and a utility's investor materials, while its headline revenue figure for the Quantum Frederick campus in Frederick County, projected at $215 million annually, was presented without conditions like the 2036 full buildout timeline and the exclusion of incentives.
Key discrepancies include the misrepresentation of the Next Generation Energy Act, which was cited by the Tech Council via a fiscal note for a different, failed bill regarding data center rate schedules. The Maryland Office of People's Counsel has also filed a complaint with the Federal Energy Regulatory Commission (FERC) against PJM Interconnection's cost-allocation plan, which it alleges would assign $1.6 billion in data center-driven transmission costs to Maryland ratepayers. Additionally, a George Mason University study cited by the Tech Council as evidence that data centers increase property values actually concluded that proximity to data centers does not negatively impact home values, a narrower finding.