New research highlights rural concerns on data center impacts
New research indicates rural Americans are increasingly concerned about data center development in their communities, primarily due to rising electricity costs, farmland loss, and water usage. This shift towards rural locations often leaves local officials ill-equipped to negotiate with large tech companies.
As data center construction increasingly shifts from urban centers to rural America, a recent survey conducted by researchers at the University of Illinois and Purdue University reveals significant concerns among rural residents. The February survey of approximately 1,000 U.S. adults found that rural inhabitants expressed the highest average level of concern regarding data center projects, with rising electricity costs topping their list, followed by the use of agricultural land and excessive water consumption.
According to the researchers, many unknowns persist regarding the full impact of data center growth. Projections from the University of Virginia's Weldon Cooper Center for Public Service indicate that by 2030, energy requirements for data centers are expected to more than double in Illinois and triple in Indiana, Michigan, Minnesota, and Wisconsin. A separate April analysis by the Pew Research Center highlights this shift, noting that while nearly 90% of existing data centers are in urban areas, 67% of planned facilities are slated for rural communities, with 39% planned for counties currently without a data center. Virginia leads the nation in both operating and planned data centers, while Illinois is the top Midwest state.
Researchers emphasized that rural communities, often constrained by limited budgets and staffing, with volunteer mayors or part-time officials, are frequently ill-equipped to evaluate complex development agreements or effectively negotiate with large companies that bring specialized legal, engineering, and financial teams to structure these projects.