Data center developer says the industry has to rethink its approach after pushback
Tennessee communities are pausing or considering restrictions on new data center projects amid concerns about electricity demand, water consumption and facility size. Host Digital CEO Harmol Samra said developers should accept defined moratoriums, engage residents earlier and build projects sized to local infrastructure.
As communities across Tennessee debate data center restrictions, local leaders in Nashville-Davidson County, Cedar Hill in Robertson County and Memphis have paused or considered pausing projects while reviewing regulations. Concerns center on electricity demand, water use, large-scale facilities and the potential effect of infrastructure investments on utility customers.
Harmol Samra, CEO of Host Digital, said temporary moratoriums can provide time for communities and developers to establish clear rules, but should have defined purposes and timelines. He said Host Digital generally pursues 20- to 100-megawatt projects that reuse existing electrical infrastructure, and argued that developers should address infrastructure needs, communicate with residents early and demonstrate economic benefits while complying with local oversight.