Data center power plant receives key permitting approval
The South Carolina Department of Environmental Services approved an air permit for Valara Holdings' controversial 450-megawatt natural gas power plant in Spartanburg, designed to support a data center. This decision drew criticism from environmental groups and local citizens due to concerns about pollution and health risks. Separately, Valara Holdings significantly revised its estimated water usage upwards, though Spartanburg Water confirmed its capacity to meet the demand.
The South Carolina Department of Environmental Services (SCDES) has granted a crucial air permit to Valara Holdings for its 450-megawatt natural gas power generation plant in Spartanburg, South Carolina. The plant is intended to provide power for Valara's data center. SCDES stated that the permit was issued because Valara demonstrated compliance with state and federal regulations.
However, the decision has been met with strong opposition from the Southern Environmental Law Center (SELC), which represents Concerned Citizens of Spartanburg County. SELC attorney Catherine Wannamaker criticized the air pollution modeling by Valara and SCDES, reiterating concerns that the facility's emissions of particulate matter and formaldehyde pose health risks to nearby residents. Valara, a subsidiary of NorthMark Strategies, maintained it has taken extensive measures to limit pollution, with its environmental attorney Sara Martinez asserting the company has gone the "extra mile."
Spartanburg County Council had previously held public safety subcommittee meetings to discuss a proposed one-year moratorium on new data centers in the county. While considering including Valara in this moratorium due to community concerns, Council members Grant DeShields and Monier Abusaft ultimately concluded there was no conclusive evidence that the Valara facility presented a major health or safety risk, thus deciding not to include it in the ban. SELC also criticized the council's decision and its recruitment process for Valara.
In a separate development, Valara Holdings revised its estimated water usage for the facility, correcting previous "dated information." The company now projects an average daily usage of 1.2 million gallons, with peaks up to 1.6 million gallons, significantly higher than its initial estimate of 459,000 gallons per day. Spartanburg Water CEO Guy Boyle confirmed that the revised volumes remain within the utility's existing treatment and delivery capacity, despite communication challenges with Valara and its contractor, Jacobs engineering.