Memphis REJECTS pause on data center development
The Memphis City Council rejected a proposed 18-month pause on new data center construction despite intense opposition from residents concerned about air quality, clean water and energy use. The council separately approved an ordinance establishing cleaner water and energy rules for data centers, amid controversy over Elon Musk’s xAI facility in the area.
The Memphis City Council voted down an 18-month moratorium on new data center development after more than five hours of heated debate and protests from residents. Speakers cited concerns about worsening air quality, access to clean water and the effects of large facilities on the community. Council members who opposed the pause said development could proceed under existing industrial zoning and argued that residents should understand the law governing the project.
The council nevertheless approved a separate ordinance imposing rules related to cleaner water and energy use by data centers. The debate centered in part on Elon Musk’s large xAI data center in Memphis, with supporters pointing to its economic and tax benefits while opponents demanded stronger community safeguards. Councilwoman Gerry Greene, a Democratic candidate for Tennessee governor, voted for the moratorium but was among the members who voted against the new data center ordinance.