Oakland City Council to Consider Data Center Moratorium

Oakland City Council to Consider Data Center Moratorium

News ClipThe Mercury News·Oakland, Alameda County, CA·9/21/2026

Oakland Councilmember Carroll Fife is proposing a 45-day moratorium on new data center approvals to allow the city to develop regulations addressing concerns about power grid strain, water supply, and other impacts. This proposal follows an announcement by Behring Co. for a new data center and public opposition to potential data center projects by Prometheus and Tesla in the city.

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Digital Realty
Gov: Oakland City Council, Councilmember Carroll Fife, Councilmember Charlene Wang, Governor Gavin Newsom, Life Enrichment Committee

Oakland City Councilmember Carroll Fife plans to propose a 45-day moratorium on new data center developments to allow city officials time to draft new regulations. The proposal aims to protect Oakland residents from potential strains on the power grid, water supply, and other utilities by tech companies, and ensure developers are transparent about their plans.

The moratorium proposal follows California Governor Gavin Newsom's recent signing of bills to impose tighter reporting requirements on AI data centers for their energy, water, and land usage. Locally, real estate developer Behring Co. announced plans for a 20,000-square-foot data center in a former Lawrence Berkeley National Laboratory facility, claiming it might not need certain permits due to the building's prior use for supercomputing. Additionally, there are concerns that AI companies Prometheus and Tesla, backed by billionaires Jeff Bezos and Elon Musk respectively, might convert recently leased spaces in West Oakland into data centers, though neither company has confirmed these plans. Councilmember Fife expressed distrust of these companies' opaque intentions.

The proposal comes amid growing opposition to data centers in the Bay Area, with cities like Oakley and Richmond also considering similar halts. Protesters, including the Party for Socialism and Liberation, have been actively calling for a permanent ban on data centers in Oakland, citing environmental concerns and potential job displacement. While Fife acknowledges these concerns, she aims to position Oakland to benefit economically from the AI industry boom, advocating for responsible technology development rather than an outright ban. Councilmember Charlene Wang has suggested amendments to Fife's proposal, advocating for a prohibition on processing applications during the moratorium and studying a permanent ban.