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People near the site of the disaster say they’re sick. But officials haven’t recognized any link between those symptoms and the fire.

People say they can still taste the metal from the Moss Landing fire. But no one in the local, state, or federal government is able to say why.
The story of Moss Landing got little attention compared to the scale of the disaster. On January 16 — days before Trump reentered office, and as fires continued to burn in and around Los Angeles, when tempers and attention spans were already strained — the Moss Landing Power Plant ignited. We still don’t know what caused the fire, but we do know a few crucial facts: Nearly all of the batteries at the 300 megawatt facility, one of the world’s largest, burned up in the fire, sending a colossal plume of black smoke soaring up from the site for days.
Two months after the blaze was extinguished, many people who live in the vicinity of Moss Landing, a couple hours south of San Francisco, say they’re still sick from the fire. Community organizers on the ground say the number of sick people is in the hundreds, at least. The symptoms range, but there are a few commonalities. Many report having bloody noses in the days immediately following the fire. In the long weeks that followed, they’ve had headaches that don’t respond to pain medications, rashes that resemble burns, and a recurring metallic taste in their mouths. They all say their symptoms go away if they leave their homes and go further away from the site. But the U.S. Environmental Protection Agency and California state regulators have given the all clear.
I have spent weeks trying to get to the bottom of what happened at Moss Landing. I’ve interviewed people who lived in the area and say they’ve experienced breathing issues and other difficulties, many of whom have gathered on Facebook to share photos, stories, and symptoms. Others have offered testimony about these illnesses in public fora and town halls. Multiple lawsuits have been filed against Vistra, the company that runs Moss Landing, over the fire, citing these health issues. Vistra denies the existence of evidence proving pollution from the fire is making people sick, and told me in a statement that the company is “committed to doing everything we can to do right by our community.”
“Moss Landing is not only home to our facility, it’s home to our employees and neighbors,” the statement reads.
And yet, the people say, their symptoms persist. One of the people who told me about their condition is Sheryl Davidson, a former receptionist who lives in the rural nearby town of Prunedale. One of her joys used to be doing Medieval cultural re-enactments, but since the fire she’s been unable to participate.
“My nose just started bleeding. It was traumatic,” she told me. “And I had asthma, but my asthma was miniscule. My whole life, I just had an inhaler. But the inhaler wasn’t working.”
Davidson has other symptoms, including headaches. She says a lump also developed in her face beneath one of her eyes, of which she sent me photos. Despite concerns that something in the air from the fire may have made her sick, she hasn’t left her home, a house she’d lived in since she was a child.
Part of the reason: No one is telling her to leave.
Officials in Monterey County, where Moss Landing is located, acknowledged to me in a statement that they received reports from medical providers that local residents sought care for symptoms related to the battery fire. The EPA said on January 20 that air monitoring throughout the fire incident found no substantial releases of hydrogen fluoride, a fatal pollutant released from battery fires. Records indicate that EPA tested for the particulate matter as well, but there’s no evidence it monitored specifically for heavy metals in the air. Vistra told me it has been doing environmental observations since the incident and is sharing the results with regulators, but said in a statement that it “has not detected risks to public health at this time.”
Davidson may have stayed, but others have left Prunedale, including Brian Roeder, who remembers seeing the fire break out while at home and deciding to leave town with his wife and son out of an abundance of caution. When they got back days later, the fire had been put out. But Roeder told me his wife, who he said is immunocompromised, began reporting breathing issues shortly after they returned. His son started coughing, as well. They quickly left home again, and have been living out of short-term rental apartments far away from the battery plant for weeks.
“This community has been significantly damaged, and they are not coming in to help anybody,” Roeder told me. “There’s been behind the scenes efforts, there’s been some work, but nothing commensurate with the size of this disaster.”
“I know that L.A. caught on fire at the exact same time,” Roeder continued. “That was the huge focus for the state. I know that planes were going down and we had a change in administration. But the fact remains that we, here, cannot explain the absence of support for what is happening from the state. And there’s been a pronounced absence.”
Roeder also started a community organization called Never Again Moss Landing, which has been collecting its own samples of the environment in consultation with a professional lab. In doing so, Roeder became part of a broader effort in the U.S. to create public safeguards for battery storage technology in the wake of Moss Landing. Ground zero for this push is, fittingly, California, where the state Public Utility Commission has responded to the fire by requiring battery storage facility owners to make emergency response plans and adhere to modern fire codes for battery storage.
Some Democratic lawmakers in California want to go further, empowering localities to be the final decisionmakers on whether storage projects get built, as opposed to state regulators.
In some pockets of the U.S., this push for battery safety risks morphing into a threat to the energy transition. For my newsletter, The Fight, I’ve chronicled how towns and counties across the U.S., from New York City to rural Texas, are now banning battery storage, citing the Moss Landing fire and the fear another battery fire could happen in their backyards.
By many metrics, Moss Landing is an outlier. The Moss Landing facility was a giant field of batteries inside a former factory, essentially trapping all these combustible mini-bombs prone to “thermal runaway,” a phenomenon where rising heat from a fire leads to a chain reaction of chemical ignition, inside an insulated box. Concerns about thermal runaway are a reason why almost all battery storage today is installed in storage containers and with an appropriate distance between individual batteries.
But Moss Landing is also a crucial test case for the future of battery storage and public trust.
This morning, the renewables sector took a big stride towards attempting to calm the rage against battery storage. American Clean Power, the leading renewables trade group, released an analysis of 35 battery storage fires in the U.S. from 2012 through the end of last year. Many of the incidents involved “early-generation” battery tech, it said, adding that “improved safety measures, such as advanced thermal management, suppression systems, and containment enclosures, significantly reduc[ed] the likelihood of large-scale incidents.”
The analysis does not speculate as to what may have caused the fire at Moss Landing, simply noting investigations into the incident are ongoing. But at the same time, ACP released a new blueprint for safe battery storage development. In the blueprint, the association acknowledges that some of its recommendations — including a requirement that all battery storage facilities meet a new fire safety standard produced years after Moss Landing was commissioned — are aimed at “holistically addressing concerns generated by the Moss Landing Fire.”
Residents are deeply suspicious of the official assessments denying what, to them, are obvious health impacts. To be candid, I can’t blame them. It strains credulity to imagine a battery fire of this size and scope right next door to you somehow creating no pollution worthy of public concern.
“When you burn [batteries] it moves toxic chemicals into the air,” said Tracey Woodruff, a former EPA senior scientist and policy advisor specializing in chemical contamination of the environment, who now works at the University of California San Francisco. “If this is an uncontrolled burn, you can’t just say there isn’t going to be fallout from that or exposure to the population.”
There’s data making people afraid too. In late January, researchers at San Jose State University alerted the public that they’d discovered “unusually high concentrations of heavy-metal nanoparticles” and a “hundreds- to thousand-fold” increase in nickel, manganese, and cobalt — metals all present in Moss Landing’s batteries — in soil two miles from the power plant in the Elkhorn Slough Reserve, one of the state’s biggest estuaries. Exposure to these metals can cause serious health issues, some of which mirror the symptoms described by residents in the area who are sick.
Exposure to dust with heavy metals can be dangerous at even relatively low levels. A county health advisory shared with local medical professionals in February urged doctors to complete a comprehensive physical of anyone concerned about the impacts of the fire on their health. It noted that breathing or coming into direct skin contact with “heavy metal dusts and other particulate matter from smoke” can result in a metallic taste and difficulty breathing, as well as exacerbate underlying conditions like asthma.
Discovering the metals’ omnipresence in the Slough after the fire led Ivano Aiello, a researcher at SJSU who collected that data, to conclude that the contamination is probably more widespread than is publicly understood.
“I freaked out [after the study] because I was breathing the stuff. I was out there for days and I had no idea,” he told me. “Then I alerted the authorities … and they did their own investigation.”
Subsequent studies conducted by county and state environmental officials, including within the Elkhorn Slough, found no level of these heavy metals that they said could be conclusively tied to the fire. On March 19, farm advisors at the University of California Cooperative Extension undertook a “limited study” that found a “slight deposition of metals (copper and manganese) may have occurred in one agricultural field closest to the battery fire site,” but that the “concentration of metals measured were within normal ranges for all soil types evaluated.” Dole, the giant produce company, which has operations in the area, told me that on its end “no health impacts have been reported and no soil contamination has been detected as a result of the Moss Landing battery fire.”
But Roeder and many other members of the surrounding communities are worried there isn’t enough testing being done to find out whether contaminants entered the atmosphere, especially since air pollution is rarely spread evenly. Like Covid-19, the only way we will ever know the extent of the problem is with more testing, testing, testing.
Roeder is trying to do this work himself. On what he says is his own dime, he and other members of Never Again Moss Landing have collected dust samples across the region in consultation with a credentialed lab in the state, BioMax, which he told me reached out after the fire.
On Wednesday, a local NBC affiliate reported that Don Smith, a toxicologist at the University of California San Diego, confirmed elevated levels of nickel, cobalt, and manganese in the dust samples collected by Never Again Moss Landing. “There is reason to be concerned,” Smith told the TV station, adding that people living near the plant should wear masks regularly if they’re interacting with dust in their homes and be careful not to disturb soil in their yards. “Both manganese and, to a lesser extent, cobalt are known to be neurotoxins. And nickel, of course, is recognized as a carcinogen.”
Frustratingly, though, there is no solid proof to date of a conclusive link between the illnesses and metal exposure — just a lot of people with symptoms, a study that hasn’t been replicated in other pieces of research, and samples collected by residents who are also involved in litigation against the company. Still, that’s a lot of evidence of a problem. Medical mysteries are also common in environmental catastrophes like the Flint water crisis and the infamous DuPont PFOA debacle in Parkersburg, West Virginia, in which obviously sick residents butted heads with regulators for years, demanding information and testing.
What’s next for Moss Landing? The three counties most impacted — Monterey, Santa Cruz, and San Benito — just concluded a community health survey that solicited comments from potentially impacted residents and received more than 1,500 responses, according to figures I reviewed that were shared at a recent Monterey County public meeting. When that study is out, we’ll have a comprehensive view of the locations where the sick live to see where it lines up with the plume that emitted from Moss Landing.
Taking a wider view, any society that’s going to rely primarily on intermittent energy sources like solar and wind needs battery storage to keep the lights on. That will require winning the public’s trust in battery technology. The Moss Landing fire was bad, and over time risks becoming an East Palestine moment for the energy transition. But the lack of a loud, sizable government response to calm the nerves of people publicly claiming illness is likely to be even more damaging to the future of the battery sector.
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Much of the world is once again asking whether fossil fuels are as reliable as they thought — not because power plants are tripping off or wellheads are freezing up, but because terawatts’ worth of energy are currently stuck outside the Strait of Hormuz in oil tankers and liquified natural gas carriers.
The current crisis in many ways echoes the 2022 energy cataclysm kicked off when Russia invaded Ukraine. Then, oil, gas, and commodity prices immediately spiked across the globe, forcing Europe to reorient its energy supplies away from Russian gas and leaving developing countries in a state of energy poverty as they could not afford to import suddenly dear fuels.
“It just shows once again the risk of being dependent on imported fossil fuels, whether it’s oil, gas, LNG, or coal. It’s an incredibly fragile system that most of the world depends on,” Nick Hedley, an energy transition research analyst at Zero Carbon Analytics, told me. “Most people are at risk from these shocks.”
Countries suddenly competing once again for scarce gas and oil will have to make tough decisions about their energy systems, with consequences for both their economies and the global climate. In the short run, it is likely that many countries will make a dash for energy security and seek to keep their existing systems running, either paying a premium for LNG or turning to coal. In the long run, however, this moment of energy scarcity could provide yet another reason to turn towards renewables and electrification using solar panels and batteries.
The immediate economic risks may be most intense to Iran’s east.
About 90% of LNG from Qatar goes to Asia, with Qatar serving as essentially the sole supplier of LNG to some countries. Even if there’s more LNG available from non-Qatari sources, many poorer Asian countries are likely to lose out to richer countries in Europe or East Asia that can outbid them for the cargoes.
For countries like Pakistan and Bangladesh, “The result is demand destruction, not aggressive spot purchasing,” according to Kpler, the trade analytics service.
LNG supply is “critical” for Asia — roughly a fifth of Asia’s power can be traced back to LNG from the Middle East, Morgan Stanley analysts wrote in a note to clients Thursday.
In its absence, coal usage will likely tick up in the power sector, leading to declining air quality locally and higher emissions of greenhouse gases globally. “For uninterrupted power, coal remains the key alternative to LNG and there is flex capacity available in South Asia, which has seen new coal plants open,” the Morgan Stanley analysts wrote.
In India, the government is considering implementing an emergency directive to coal-fired power plants to “boost generation and to plan fuel procurement to meet peak summer demand,” sources told Argus Media.
Anne-Sophie Corbeau, global research scholar at the Columbia University Center on Global Energy Policy, told me that she does “expect to see some coal switching,” and that she has “already seen an increase in coal prices.” Benchmarks have already risen to their highest level in at least two years, according to the Financial Times.
This likely coal surge comes as two of the world’s most coal-hungry economies — namely India and China — saw their electricity generation from coal power drop in 2025, the first time that’s happened in both countries at once in around 50 years, according to an analysis by Lauri Myllyvirta of the Centre for Research on Energy and Clean Air. In much of the rich world, by contrast, coal consumption has been falling for decades.
At the same time energy insecurity may tempt countries to stoke their coal fleet, the past few years have also offered examples of huge deployments of solar in some of the countries most affected by high fossil fuel prices, leading some energy analysts to be guardedly optimistic about how the world could respond to the latest energy crisis.
In the developing world especially, the need to import oil for gasoline and natural gas for electricity generation weighs on the terms of trade. Countries become desperate to export goods in exchange for hard currency to pay for essential fuel imports, which are then often subsidized for consumers, weighing on government budgets. But at least for electricity and transportation, there are increasingly alternatives to expensive, imported fossil fuels.
“This is the first oil and gas crisis-slash-pricing scare in which clean alternatives to oil and gas are fully price-competitive,” Isaac Levi, an analyst at CREA, told me. “Looking at the solar booms, we can expect this to boost clean energy deployment in a major way, and that will be the more significant and durable impact.”
The most cited example for this kind of rapid emergency solar uptake is Pakistan, which has experienced one of the fastest solar conversions in history and expects this year to see a fifth of its electricity come from solar, according to the World Resources Institute.
The country was already under pressure from the rising price of energy following the Russian invasion of Ukraine in 2022, when it was forced to hike fuel and power prices and cut subsidies as part of a deal with the International Monetary Fund. From 2021 to 2024, Pakistan’s share of generation from solar more than tripled thanks to the growing glut of inexpensive Chinese solar panels that were locked out of the rich world — especially the United States — by tariffs.
“Countries which are heavily dependent on fossil fuel imports are once more feeling very nervous,” Kingsmill Bond, an energy strategist at the clean energy think tank Ember, told me. “The interesting thing is we have two answers: renewables and electrification. If you want quick results, you put solar panels up quickly.”
Other examples of fast transitions have been in transportation, particularly electric cars.
Ethiopia banned the import of internal combustion vehicles due to worries about the high costs of oil imports and fuel subsidies. EVs make up some 8% of the cars on the road in the East African country, up from virtually zero a few years ago. In Asia, Nepal executed a similar push-pull as part of a government effort to reduce both imports and smog; about five years later, over three-quarters of new car sales in the country were electric.
But getting all the ducks in a row for a green transition has proven difficult in both the rich world and the developing world. Few countries have been able to electrify their economies while also powering them cheaply and cleanly. Ethiopia and Nepal are two examples of electrifying demand for power, particularly transportation. But while the two countries are poor compared to much of the world, they are rich in water and elevation, giving them plentiful firm, non-carbon-emitting electricity generation.
Pakistan, on the other hand, is far from being able to, say, synthesize fertilizers at scale with renewable power. In addition to being a power source, natural gas is also a crucial input in industrial fertilizer manufacturing. Faced with spiking costs, fertilizer plants in Pakistan are shutting down, imperiling future food supplies. All the cheap Chinese solar panels and BYD cars in the world can’t feed a chemical plant.
What remains to be seen is whether this crisis will be severe and enduring enough to lead to a fundamental rethinking about the global energy supply — what kind of energy countries want and where they will get it.
“Energy security crises produce the same structural response: the search for sources that do not require crossing borders and global chokepoints,” Jeff Currie, a longtime commodities analyst, and James Stavridis, a retired admiral and NATO’s former Supreme Allied Commander, argued in an analysis for The Carlyle Group. “Solar, wind, and nuclear are children of the 1970s oil shocks — with growth driven by security, not environmentalism,”
While the United States is not unaffected by the unfolding energy crisis — gasoline prices have spiked over $0.25 per gallon in the past week, and diesel prices have spiked $0.40 — its resilience comes from both its domestic oil and gas production and its solar, wind, and nuclear fleets. Much of this electricity generation and power production can be traced back in some respect to those 1970s oil shocks.
In 2024, the United States imported 17% of its primary energy supply, according to the Energy Information Administration, compared to a peak of 34% in 2006 and the lowest since 1985. Today, Asia still imports 35%, and Europe 60%, Bond told me.
“That’s massive levels of dependency in a fragile world,” Bond said. “It’s a question of security,”
On Galvanize’s latest fund strategy and more of the week’s big money moves.
This week brings encouraging news for companies on land and offshore, from the Netherlands to East Africa. First up — and in spite of a federal administration that appears to be actively hostile toward residential and commercial electrification and energy efficiency measures — California gubernatorial candidate Tom Steyer’s investment firm Galvanize just closed a fund devoted to decarbonizing real estate. Elsewhere, we have a Dutch startup pursuing a novel approach to clean heat production, a former Tesla exec rolling out electric motorbikes in East Africa, and an offshore wind developer plans to pair its floating platform with underwater data centers.
With electricity costs on the rise and war in Iran pushing energy prices further upward, energy efficiency measures are looking more prudent — and more profitable — than ever. Amidst this backdrop, the asset manager and venture firm Galvanize announced the close of its first real estate fund, bringing in $370 million as the firm looks to make commercial buildings cleaner and better able to weather price fluctuations in global energy markets.
Galvanize, co-founded by the billionaire Tom Steyer, is already doling out this money, investing in 15 buildings across 11 cities so far. The firm targets real estate in cities where demand is outpacing supply, performing decarbonization upgrades such as installing on-site solar generation and undertaking energy efficiency retrofits such as improved insulation and weatherproof windows.
Galvanize is betting that fluctuations and increases in energy prices will grow faster than the cost of upgrading buildings to be more efficient and lower-emissions, making its strategy profitable in the long-term.
While I’ve long followed thermal battery companies like Rondo and Antora, which use renewable energy to heat up hot rocks capable of delivering industrial heat, I was unaware of iron fuel’s potential to do much the same. That changed this week when the Dutch startup Rift announced it had raised $132 million to commercialize this technology.
The startup produces high-temperature heat by combusting iron powder with ambient air in a specialized boiler engineered to handle metal fuels. This process produces a flame that can reach 2,000 degrees Celsius without emitting any carbon dioxide. The resulting heat can then be delivered as steam, hot water, or hot air to industrial facilities, with the only byproduct being iron oxide (rust), which itself can then be collected and converted back into iron fuel by reacting it with hydrogen produced via low-carbon processes.
Rift’s latest funding comprises a $96.2 million Series B round involving several Netherlands-based investors, along with a $35.5 million grant from the EU Innovation Fund. Both pots of money will support the construction of the company’s first production facility for iron fuel boilers. Rift’s first customer is the building materials manufacturer Kingspan Unidek, with whom it’s developing a project that Rift says will result in over a million metric tons of avoided emissions over a 15-year period.
The electric vehicle transition looks pretty different in East Africa, where two-wheeled motorcycles dominate daily commuting and urban transit. These smaller, lighter vehicles are simple and cheap to electrify, and while their upfront cost is higher than gasoline-powered bikes, operating expenses can be 50% lower. This week, the market received a boost as e-motorbike startup Zeno announced a $25 million Series A round to scale production of its flagship bike.
The round was led by the climate tech VC Congruent Ventures, with support from other heavyweights such as Lowercarbon Capital. Zeno’s CEO Michael Spencer, who left Tesla in 2022 to start the company, sees a larger electrification opportunity in emerging economies than here in the U.S. As he told TechCrunch when Zeno emerged from stealth in fall 2024, “the Tesla master plan has more legs and more room to run with lower hurdles in emerging markets.”
Spencer saw particular potential to sell low-cost motorbikes with batteries that Zeno would own rather than the customer, meaning they can’t charge their bikes at home. Riders instead rely on swap stations where they can exchange depleted batteries for fully charged ones — much as the Chinese electric vehicle company Nio does with its cars.
Zeno designs and manufactures its own bikes and charging infrastructure, with 800 motorbikes sold and 150 charging and battery-swap stations installed across four cities across Kenya and Uganda. With this latest influx of cash, the company plans to fulfill its backlogged orderbook, which it says now has more than 25,000 retail and fleet customers.
Data centers developers are hitting bottlenecks securing energy, land, and social acceptance — so the startup Aikido wants to ship them out to sea, where it says “energy, cooling and space are abundant.” This week, the offshore wind developer revealed its novel floating turbine platform, designed to co-locate wind generation and battery storage with data centers submerged in compartments connected to the turbine itself.
The installation would still be grid-connected, but the idea is that the turbine and batteries will meet most of the data center’s energy needs, drawing on the grid mainly during the summer when the wind dies down. A 100-kilowatt proof of concept is already being developed in Norway, with the first commercial deployment slated for the U.K. sometime in 2028. Eventually, Aikido says it envisions building “gigawatt-scale” data centers at sea — an ambitious undertaking in a notoriously harsh environment.
But as CEO Sam Kanner reasoned in a press release, “before we go off-world, we should go offshore” — a likely jab at Elon Musk, who has repeatedly expressed his desire to launch data centers into space to rid himself of terrestrial concerns over real estate and energy.
A conversation with Center for Rural Innovation founder and Vermont hative Matt Dunne.
This week’s conversation is with Matt Dunne, founder of the nonprofit Center for Rural Innovation, which focuses on technology, social responsibility, and empowering small, economically depressed communities.
Dunne was born and raised in Vermont, where he still lives today. He was a state legislator in the Green Mountain State for many years. I first became familiar with his name when I was in college at the state’s public university, reporting on his candidacy for the Democratic gubernatorial nomination in 2016. Dunne ultimately lost a tight race to Sue Minter, who then lost to current governor Phil Scott, a Republican.
I can still remember how back in 2016, Dunne’s politics then presaged the kind of rural empathy and economic populism now en vogue and rising within the Democratic Party. Dunne endorsed Vermont Senator Bernie Sanders’ 2016 presidential bid and was backed by the state’s AFL-CIO; Minter, a more establishment Democrat, stayed out of the 2016 primary and underperformed in the general election. It doesn’t surprise me now to see Dunne emerging with novel, nuanced perspectives on how advanced technological infrastructure can succeed in rural America. So I decided to chat with him about the state of data center development today.
The following chat has been lightly edited for clarity.
So first of all, can you tell our readers about your organization in case they’re unfamiliar?
We founded this social enterprise back in 2017 because the economic gap between urban and rural turned into a chasm. We traced the core reasons and it was the winners and losers of the tech economy. There were millions and millions of jobs created from the great recession, but the problem was that it was almost exclusively in urban areas, in the services sectors like consulting, finance, and tech. At the end of the day, we believe in the age of the internet there should be no limit to where high-quality technology jobs should thrive.
We work with communities across the country that are rural and looking to add technology as a component to their economy. We help them with strategies – tech accelerators, tech accountability programs, co-working spaces, all the other stuff you need to create a vibrant place where those kinds of companies can emerge so people can come back, come home. We work with 43 regions across 25 states that are all on this journey together and help them secure the resources to execute on that journey.
One of the reasons I wanted to speak with you is your history in Vermont. I went to the University of Vermont, and I loved living there, but there aren’t jobs to keep kids there which is still a huge disappointment to young folks who love living in the state.
At the same time the state reflects many of the same signals we see in Heatmap Pro data around advanced industrial development. Large land owners bristle at new projects regardless of their political party, and Democratic voters are more inclined to side more with locavorism than a YIMBY growth-minded approach.
How do your Vermonter roots inform your work, and do they affect the ways you see the conflicts over new advanced tech infrastructure?
What we’ve seen in Vermont after the Great Recession is that there’s lots of available space and a population that’s aged significantly.
This all impacted my outlook as a community development person, and now as a leader of a social enterprise. We need to be thinking proactively about what an economically healthy community looks like and how we ensure we have places importing cash and exporting value in a way that doesn’t destroy what’s amazing about these rural places. You pretty quickly land on tech, as well as maybe some design-related manufacturing where the ideas are local.
To make it clear, we’re building infrastructure for technology communities which is different from building technology infrastructure itself. That’s an important distinction. It’s about giving them the tools to stand up a tech accelerator and have a co-working space that creates community. A good co-working space has good programming, allows for remote workers to go to a place, and you can have those virtuous collisions that lead to something else. A collaboration. A volunteer project. Whatever it is. Having hack-a-thons, lectures or demonstrations on the latest AI technology that can be used. Youth programming around robotics. If you can create a space where that happens, you create a lot of synergy, which is important in smaller markets – you have to be intentional with all of this.
Okay, so considering those practices, what do you think of the way data center development is going?
For the record, I spent six and a half years at Google and was hired at first because of data centers. At the time, I saw Google try to build a big data center in a community of less than 10,000 people in secret, and it didn’t go well because it just doesn’t work, and that’s how I got my job there.
There is a right way to come into a community with a data center or frankly any kind of global company infrastructure project, and there’s a wrong way to do it. The right way is being as transparent as possible, knowing full well that when a brand name is mentioned, the price goes through the roof for the land. There does have to be some level of confidentiality when you’re ready to go, but once you can, you have to be proactive with it.
You have to be a really good steward on the impacts, whether they’re electrical demand or water demand. It’s about being clear, it’s about figuring out how to mitigate it, and it’s about maintaining your commitment to 100% renewable energy even as you’re bringing online data centers. Oh, and it’s about having a real financial commitment to make sure the community can economically diversify away from being overly dependent on the data center, on that one industry. The data center developers know full well that they’ll create a lot of construction jobs but that’s not going to be a good, sustainable employer. Frankly, the history of rural places is littered with communities that are too dependent on one industry, one company, and that hasn’t
What does that look like from a policy perspective and a community relations perspective?
I think there are models emerging, including from Microsoft, Google, and others, about what good entry and strong commitments look like. It would be great if someone put a line in the sand about 2% of capex going to a community to diversify the economy. It would be great if companies put a reasonable time horizon out there to replace potable water through technology or other kinds of supports. It would be great to see commitments to ratepayers that say people won’t have to foot the bill for increased demand.
Here’s the part we focus on more because we’re not as focused on site selection: Rural America is likely to shoulder the burden of data center infrastructure just like they shouldered the burden of energy production infrastructure. The question at the end of the day is, how do we make sure those communities see the upside? How do we make sure they can leverage tech capacity inside these data centers to be able to have more agency and chart their own economic futures? That’s what we’re really focused on because if you do that, it doesn’t have to be a repeat of the extractive processes of the past, where rural places were used for cheap land and low-wage workers. They can instead be places with lots of land available and incredible innovation, new enterprises and solving the world’s problems.