More than 230 environmental and advocacy organizations are calling on US lawmakers to halt the approval and construction of new data centers nationwide, citing concerns over surging electricity demand, rising water usage, and the growing strain on local communities.
Call for a National Moratorium
The groups, including Food & Water Watch, Friends of the Earth, and Greenpeace, issued a joint public letter urging members of Congress to support a national moratorium on new data center development. The letter warned that the rapid expansion of data centers, driven largely by artificial intelligence and cryptocurrency activity, is occurring with limited regulatory oversight.
“The rapid, largely unregulated rise of data centers to fuel the AI and crypto frenzy is disrupting communities across the country and threatening Americans’ economic, environmental, climate and water security,” the letter said.
Impact on Energy Prices and Consumers
Several studies cited by the groups link the arrival of large data centers in a region to increases in local electricity prices. Public concern appears to reflect those findings. A recent survey commissioned by solar installer Sunrun found that eight in 10 consumers are worried data centers could drive up their utility bills.
Electricity prices have already risen 13% this year, a larger annual increase than in any of the past 10 years.
States Facing the Largest Capacity Growth
The environmental groups said the effects of expanding data center capacity are expected to be concentrated in several states, including Virginia, Pennsylvania, Ohio, Illinois, and New Jersey. These states are projected to see the largest additions of new facilities.
Energy demand from data centers is forecast to nearly triple over the next decade, rising from about 40 gigawatts today to 106 gigawatts by 2035. Much of this growth is expected to occur in rural areas.
“All this compounds the significant and concerning impacts AI is having on society, including lost jobs, social instability and economic concentration,” the groups said in the letter.
Protests and Local Opposition to Proposed Projects
Opposition to specific data center projects has intensified in recent weeks. Last week, protestors gathered outside the headquarters of utility company DTE in Detroit. The utility is seeking approval from the Michigan Public Service Commission to supply electricity to a planned 1.4 gigawatt data center for OpenAI and Oracle.
Protestors said they were concerned the facility would raise electricity bills, consume large amounts of fresh water, and increase traffic congestion in surrounding areas.
Also last week, in Wisconsin, three people were arrested during a common council meeting over a proposed 902 megawatt data center linked to OpenAI and Oracle’s Stargate project.
Featured image credits: Wikimedia Commons
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