City to end data center recruitment
The El Paso City Council voted to stop offering incentives and actively recruiting future hyperscale data center projects, a move prompted by months of community discussion and concerns about water and electricity use. The decision, though not blocking data centers entirely, establishes a new policy framework, with city staff continuing work on a broader plan.
The El Paso City Council unanimously passed a measure to cease offering incentives and actively recruiting future hyperscale data center projects. This decision follows months of public controversy and discussion, with numerous El Paso residents expressing strong concerns about the environmental impact of data centers, specifically their high water and electricity consumption, and the strain they could place on local infrastructure.
During a packed City Hall meeting, citizens voiced their opposition, with Representative Chris Canales acknowledging the potential economic benefits, such as significant tax revenue for the city, county, school district, community college, and university medical center. However, Canales agreed that the environmental and resource concerns outweighed these benefits.
The vote does not prevent data centers, including Meta's planned facility in Northeast El Paso, from developing in the city. Instead, it signals a shift in the city's approach to such projects, moving away from proactive recruitment and financial encouragement. City staff will continue to develop a comprehensive data center policy framework for future consideration by the council.