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Hotspots

An Anti-Battery Avalanche Outside Seattle

And more on the week’s top fights around project development.

The United States.
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1. King County, Washington – The Moss Landing battery backlash is alive and well more than a year after the fiery disaster, fomenting an opposition stampede that threatens to delay a massive energy storage project two dozen miles east of Seattle.

  • Moss Landing looms large in Snoqualmie, a city in the Cascade Mountains where Jupiter Power is trying to build Cascade Ridge Resiliency Energy Storage, a 130-megawatt facility conveniently located on unincorporated county land right by a substation and transmission infrastructure.
  • To say residents nearby are upset would be an understatement. A giant number of protestors – reportedly 650 people, which is large for this community of about 14,000 – showed up to rally against the project this weekend, just as Jupiter Power submitted its application for the project to county regulators.
  • The opposition is led by Snoqualmie Valley for Responsible Energy, a grassroots organization that primarily has focused on the risk of thermal runaway from battery storage events and rhetoric about the Moss Landing fire. “The battery chemistry proposed for Cascadia Ridge has not been verified in any public filing. Recent incidents illustrate what is at stake,” state SVRE strategy materials posted to their website.
  • Jupiter Power has tried to combat this campaign with its own organizing coalition – dubbed “Keep the Lights On!” – that includes local union labor and some environmentalists, including volunteers for Sierra Club. This campaign has emphasized how modern engineering around battery storage is nothing like the set-up was at Moss Landing.
  • However, the concerned voices are winning out over those who want the storage project. On Wednesday night, this outcry led the Snoqualmie city council at a special meeting to vote to request via letter for the storage project to be relocated and communicate that dissent to both the local utility, Puget Sound Energy, and King County.
  • “We encourage consideration of alternate locations within the Puget Sound Energy transmission and distribution system to better address the concerns that have been raised,” read a draft version of the letter presented by councilors at the meeting.
  • Jupiter Power told me it “welcome[s] any feedback from the community” and King County said in a statement, “We understand the concerns.” PSE told me they had not “received official notification about the formal action by the City Council and we can't comment on something we have not received.”
  • This degree of on-the-ground frustration will be challenging for any higher-level decision maker in Washington State to ignore. I’d argue the entire storage sector should be watching closely.

2. Prince Williams County, Virginia – It was a big week for data center troubles. Let’s start with Data Center Alley, which started to show cracks this week as data center developer Compass announced it was pulling out of the controversial Digital Gateway mega-project.

  • The Brookfield subsidiary withdrew from Digital Gateway after a court ruling reversed crucial rezoning decisions necessary for the proposal and Prince William County voted to drop its legal defense in support of its completion.
  • This situation drew satisfied plaudits from anti-AI data center voices because it’s likely to indefinitely delay the project; even though tech developer QTS remains committed to Digital Gateway, project architects and landowners are now suing to get out of their sales contracts.

3. Washtenaw County, Michigan – Turning to Michigan, real estate firm Sansone abandoned plans to purchase land owned by Toyota to build a hyperscale data center campus after the local township instituted a 6-month moratoria.

  • A representative for York township told Michigan news outlet MLive that Sansone notified them they were withdrawing their proposal in late March, shortly after the temporary ban was instituted. Sansone had not submitted any formal permitting requests or construction plans but did discuss potentially turning Toyota’s property into data centers.
  • This is at least the fifth data center cancellation due to opposition so far in Michigan, according to Heatmap Pro data. On April 6, developer Deep Green rescinded its proposal in Lansing right before the city council was set to vote on approving the rezoning for construction.

4. Okeechobee County, Florida – The backlash to data centers is killing projects in deep-red Florida too, as this county’s commission decides to kill a 205-acre prospective data center campus led by a state college.

  • Apparently local upset over the “Okee-One Data Center” project was so fierce an online petition to stop development gathered more than 3,000 signatures. For context, that’s about 18% of the total votes this county cast for president in 2024.
  • Gov. Ron DeSantis had initially provided funding for the project only to then oppose Okee-One, telling local media it felt deceived and that the college’s plans were “based on falsehoods and pretenses about energy and water.” Some in the Florida press have gone so far as to claim the governor himself “canceled” the project, and the DeSantis administration is asking the college to return the funding

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Spotlight

The Real vs. Imagined Problems with Data Centers’ Water Use

How much water is too much?

Water, a data center, and a protester.
Heatmap Illustration/Getty Images

The data center water issues are real – but they aren’t what you think.

Too often, I hear people say the number one reason they’re against data center development is water use. Heatmap’s data shows water consumption is historically the reason cited most often by activists when opposing projects. This complaint, they often say, is rooted in the fear that this nascent buildout of AI infrastructure will simply draw so much H2O it will leave little liquid left for the rest of us.

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Hotspots

Texas Is the Eye of the Bipartisan Data Center Hurricane

And more of this week’s biggest news around project fights.

The United States.
Heatmap Illustration/Getty Images

1. Matagorda County, Texas – The bipartisan data center backlash is now so powerful that a top Republican Texas state official is doing an event with the Democrat vying to replace him.

  • On Thursday afternoon, outgoing Republican agriculture commissioner Sid Miller and Democratic candidate Clayton Tucker are marqueeing a forum hosted by Matagorda County Against Data Centers, an opposition group that appears to also monitor solar and battery storage for potential opposition, too. Miller is leaving his post at the end of the year after being defeated in a GOP primary by Nate Sheets, who was supported by Gov. Greg Abbott.
  • This bipartisan forum will take place after Abbott himself called for new laws and regulations on data centers in a letter to Texas Public Utility Commission Chair Thomas Gleeson and ERCOT CEO Pablo Vegas. Abbott said he’d push to require data centers to pay costs for electric infrastructure and use “water-efficient technologies such as closed-loop cooling systems.” Also on the to-do list? Mandatory property setbacks and noise reduction.
  • It’s becoming clear the frustrations against AI infrastructure and associated energy projects are starting to boil without a vent. The first county to issue a data center moratorium in Texas has withdrawn the effort after facing a $100 million lawsuit from a developer, and other counties are delaying future moratoria on fears of legal risks. Where will all of this frustration go without the option to pause development locally?
  • We’re starting to see Texas legislators seek to channel this anger. Last week, Rep. Veronica Escobar – a Democrat who represents the dry, data center-anxious city of El Paso – offered an amendment in a House committee to block funding for the EPA’s new data center construction rules. The amendment failed but I’d hardly be surprised to see this sort of rider gain traction if Democrats retake the lower chamber, especially if data centers are a major election issue.

2. Albany County, New York – As we await Gov. Kathy Hochul’s decision on whether to enact the nation’s first statewide moratorium on data centers, I wanted to bring up some pretty crucial facts about the situation in the Empire State.

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Q&A

One Investor’s Climate ‘Realism’ In the Data Center Era

A conversation with Craig Lawrence of Energy Transition Ventures

The Q&A subject.
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This week’s conversation is one of my favorites so far – Craig Lawrence of Energy Transition Ventures. Lawrence has been around the block and back again when it comes to the cleantech investment landscape. So I took note when he got into a brief back-and-forth with an activist fighting data centers in Indiana who claimed there were “so many clean energy people who no longer care about climate change” because they “now support fossil fuel data centers if some nominal amount is met with clean energy.”

Lawrence replied, “Some of us are simply realists.”

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