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Hotspots

Indiana Rejects One Data Center, Welcomes Another

Plus more on the week’s biggest renewables fights.

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The United States.
Heatmap Illustration/Getty Images

Shelby County, Indiana – A large data center was rejected late Wednesday southeast of Indianapolis, as the takedown of a major Google campus last year continues to reverberate in the area.

  • Real estate firm Prologis was the loser at the end of a five-hour hearing last night before the planning commission in Shelbyville, a city whose municipal council earlier this week approved a nearly 500-acre land annexation for new data center construction. After hearing from countless Shelbyville residents, the planning commission gave the Prologis data center proposal an “unfavorable” recommendation, meaning it wants the city to ultimately reject the project. (Simpsons fans: maybe they could build the data center in Springfield instead.)
  • This is at least the third data center to be rejected by local officials in four months in Indiana. It comes after Indianapolis’ headline-grabbing decision to turn down a massive Google complex and commissioners in St. Joseph County – in the town of New Carlisle, outside of South Bend – also voted down a data center project.
  • Not all data centers are failing in Indiana, though. In the northwest border community of Hobart, just outside of Chicago, the mayor and city council unanimously approved an $11 billion Amazon data center complex in spite of a similar uproar against development. Hobart Mayor Josh Huddlestun defended the decision in a Facebook post, declaring the deal with Amazon “the largest publicly known upfront cash payment ever for a private development on private land” in the United States.
  • “This comes at a critical time,” Huddlestun wrote, pointing to future lost tax revenue due to a state law cutting property taxes. “Those cuts will significantly reduce revenue for cities across Indiana. We prepared early because we did not want to lay off employees or cut the services you depend on.”

Dane County, Wisconsin – Heading northwest, the QTS data center in DeForest we’ve been tracking is broiling into a major conflict, after activists uncovered controversial emails between the village’s president and the company.

  • At a village board meeting on Wednesday, a member of activist group No Data Center in DeForest said they obtained conversations between village president Jane Cahill Wolfgram and QTS in which Wolfgram counseled the company on how to sell the project to the community.
  • Wolfgram apparently told QTS its descriptions of potential water use were inconsistent and that “lots of these folks are college educated and smart and looking to question.” Those comments were subsequently reported early this morning by regional TV news station WKOW, which confirmed the emails were authentic. Now they are beginning to make the rounds on local social media pages.
  • Wolfgram defended her comments to WKOW in a statement: “It is typical for staff and elected officials to have conversations with individuals or organizations seeking to make local investments to better understand potential impacts, challenges and benefits.”
  • Earlier this week, residents apparently also submitted a petition to village leadership requesting a referendum on the data center project that was reportedly signed by more than a thousand residents of the 12,000 person village. The village board rejected the petition, citing advice from its attorneys.

White Pine County, Nevada – The Trump administration is finally moving a little bit of renewable energy infrastructure through the permitting process. Or at least, that’s what it looks like.

  • The Bureau of Land Management this week updated the permitting timetable to say it’ll publish an updated analysis for the Greenlink North transmission line next month, taking into account impacts on sage grouse populations. If constructed, Greenlink North is expected to connect to solar projects across northern Nevada and attach to a substation in Ely, a town in White Pine County.
  • Conservationists consider sage grouse to be a keystone species for climate impacts and require unabated swathes of land in order to find mates. The Center for Biological Diversity has opposed Greenlink North on multiple grounds, but a primary point of contention has been that that new infrastructure could likely hinder sage grouse migration patterns and mating rituals, and the Center celebrated this decision. The solar industry has never really addressed sage grouse impacts in a comprehensive manner as they are somewhat unavoidable, though energy companies do generally monitor for the birds in compliance with any conditions for permits.
  • I’m not sure where this will go as Trump has certainly sought to hurt renewable infrastructure but also is paring back species protection efforts. It’s also worth noting that the timing here is liable to slip. The Trump 2.0 BLM has updated their permitting timetables for other renewable energy-related projects before, only to miss their deadlines or cancel the project (that’s what happened to Esmeralda 7).

Mineral County, Nevada – Meanwhile, the BLM actually did approve a solar project on federal lands while we were gone: the Libra energy facility in southwest Nevada.

  • Developer SB Energy is now expected to begin construction on the 700-megawatt project this year. Libra was nearly finished with the permitting process and had been given a preliminary go-ahead at the end of the Biden administration, but SB Energy apparently required an amendment to its environmental approval taking into account new plans for its gen-tie transmission line, stormwater drainage, and other considerations.
  • This is not evidence of a broader thaw in renewable energy permitting, as none of the timelines for other active solar projects listed on BLM’s website have been updated since November at the latest.

Hancock County, Ohio – Ohio’s legal system appears friendly for solar development right now, as another utility-scale project’s permits were upheld by the state Supreme Court.

  • The high court cleared the way for the South Branch project in Hancock County in late December after residents opposed to the project challenged the final greenlight from the Ohio Power Siting Board, which was issued in 2023. The court found the OPSB decisions were “not unlawful or unreasonable,” that the residents’ challenge to the board was contradicted by evidence, and that the final approvals were justified.
  • I expect the next shoe to drop in the state’s solar legal challenges will be the Circleville solar project in Pickaway County. The Supreme Court this week heard arguments in a challenge against the OPSB decision to reject Circleville’s construction permit.
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Q&A

How to Channel Voters’ Anxieties About Data Centers

A conversation with the Guardrails Alliance’s Shaunna Thomas.

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The Q&A subject.
Heatmap Illustration

This week’s Q&A is with Shaunna Thomas of the Democrat-allied super PAC Guardrails Alliance, which describes itself as “not anti-technology” but supportive of AI “rules, accountability, and a government that actually represents the public.” Part of that AI accountability they’re calling for is on data centers.

After the midterms, Guardrails Alliance sent a memorandum to all House and Senate Democratic offices arguing for AI and data center accountability to be a key part of their message and plans heading into the new Congress. Described as a “playbook for how to understand and channel anxieties about AI and data centers,” the document laid out “key narratives” that they said voters who care about these issues want to see reflected and echoed by their politics. They said the push against data centers could help Democrats build more lasting political power.

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Hotspots

Consider the Lobstermen Affected by New York’s Empire Wind

Plus more of the week’s biggest development fights.

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The United States.
Heatmap Illustration/Getty Images

1. New York City — We have a new must-watch offshore wind lawsuit with potential implications for the entire sector — and this time, it’s from lobstermen seeking damages.

  • In late October, a family of lobstermen sued Equinor in federal court claiming the company’s compensatory mitigation program is failing to adequately make up for alleged negative impacts to lobster fishing grounds in the New York Bight. According to the lawsuit, the wind project irreparably hurt fishing in previously trafficked waters. The suit also claims that Empire Wind construction destroyed lobster fishing pots and seeks at least $75,000 in damages as well as punitive damages and attorneys’ fees.
  • The lawsuit is the first I have seen involving someone in aquaculture suing for damages over negative impacts of an already-constructed wind project, and it carries outsized implications as the Trump administration remands without vacatur the construction and operations plans for other offshore wind farms. This case is far from being decided, but that doesn’t matter: It is precisely the kind of complaint that Trump officials are likely to consider as they mull revisions to operational plans.
  • An Equinor spokesman declined to comment on the case, telling me they don’t speak on pending litigation.

2. Hinds County, Mississippi — The largest proposed solar farm in Mississippi is moving forward after an appeals court rejected arguments from aggrieved local residents that it had been improperly approved.

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Spotlight

Data Center Developers Can’t Pay People Enough to Accept Them

Trump’s “data center dividend” appears to have backfired. Our latest poll results help explain why.

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Donald Trump and data center protesters.
Heatmap Illustration/Getty Images

This year’s midterm elections called into question the efficacy of a push to pay local residents directly in exchange for building data centers.

Before the elections, I profiled the campaign for politicians to embrace the data center “dividend,” a policy idea modeled off Alaska’s Permanent Fund, which doles out checks to residents from profits off state oil, gas and mineral royalties. The Bitcoin Policy Institute, a tech policy think tank, was one of the first to trumpet the concept, but it was quickly taken up by President Donald Trump, who started raising it in speeches and on social media. “If companies want to make their Data Centers popular, pay the community, and/or individuals within the community, a ‘dividend,’” Trump posted to Truth Social on October 21.

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