Some Kentucky counties and cities hitting pause button on data centers
Kentucky cities and counties are increasingly considering or implementing moratoriums and stricter zoning regulations on data center development. Daviess County and Cave City have enacted one-year bans due to concerns over energy, water use, noise, and ecosystem impacts. Residents also raised transparency issues in Boyd County regarding officials signing non-disclosure agreements with a developer.
A growing number of cities and counties across Kentucky are implementing or considering temporary bans and stricter zoning regulations on data center construction. Daviess County recently enacted a 12-month moratorium, and the Cave City City Council followed suit with a one-year ban after being approached by a data center developer.
Gerry James, deputy director of the National Circle of Outdoors for All Campaign for the Sierra Club, voiced strong support for these cautious measures, highlighting the significant increase in energy demand driven by generative AI and its potential impact on natural resources. James specifically noted concerns about water strain and ecosystem disruption, particularly near sensitive areas like Mammoth Cave National Park.
Local residents are concerned about hyperscale data centers, citing potential noise pollution, high water consumption, and extensive electricity usage. The industry has criticized moratoriums as anti-business despite continued investment. Furthermore, issues of transparency have emerged, with local officials in Boyd County facing criticism from residents for signing nondisclosure agreements with a data center developer planning a large operation.