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A review of Heatmap Pro data reveals a troubling new trend in data center development.

Data centers are being built in places that restrict renewable energy. There are significant implications for our future energy grid – but it’s unclear if this behavior will lead to tech companies eschewing renewables or finding novel ways to still meet their clean energy commitments.
In the previous edition of The Fight, I began chronicling the data center boom and a nascent backlash to it by talking about Google and what would’ve been its second data center in southern Indianapolis, if the city had not rejected it last Monday. As I learned about Google’s practices in Indiana, I focused on the company’s first project – a $2 billion facility in Fort Wayne, because it is being built in a county where officials have instituted a cumbersome restrictive ordinance on large-scale solar energy. The county commission recently voted to make the ordinance more restrictive, unanimously agreeing to institute a 1,000-foot setback to take effect in early November, pending final approval from the county’s planning commission.
As it turns out, the Fort Wayne data center is not an exception: Approximately 44% of all data centers proposed in Indiana are in counties that have restricted or banned new renewable energy projects. This is according to a review of Heatmap Pro data in which we cross-referenced the county bans and ordinances we track against a list of proposed data centers prepared by an Indiana energy advocacy group, Citizens Action Coalition of Indiana.
This doesn’t necessarily mean the power going to these data centers is consistently fossil. Data centers can take years to construct and often rely on power fed to them from a distributed regional energy grid. But this does mean it would be exceptionally costly for any of these projects to build renewable generation on site, as a rising number of projects choose to do – not to mention that on a macro level, data centers may increasingly run up against the same cultural dynamics that are leading to solar and wind project denials. (See: this local news article about the Fort Wayne data center campus).
Chrissy Moy, a Google spokesperson, told me the Fort Wayne facility will get its power off of the PJM grid, and sent me links to solar projects and hydroelectric facilities in other states on the PJM it has power purchase agreements with. I’d note the company claims it “already matches” all of its global annual electricity demand with “renewable energy purchases.” What this means is that if Google can’t generate renewable energy for a data center directly, it will try to procure renewable energy at the same time from the same grid, even if it can’t literally use that clean power at that data center. And if that's not possible, it will search farther afield or at different times. (Google is one of the more aggressive big tech companies in this regard, as my colleague Emily Pontecorvo details.) Google has also boasted that it will provide an undisclosed amount of excess clean electricity through rights transfers to Indiana Michigan Power when the tech company’s load is low and demand on the broader grid is peaking, as part of Google’s broader commitment to grid flexibility.
I reached out to Tom Wilson, an energy systems technical executive at the Electric Power Research Institute, an industry-focused organization that studies modern power and works with tech companies on flexible data center energy use, including Google. Wilson told me that in Indiana, many of the siting decisions for data centers were made before counties enacted moratoria against renewable energy and that tech companies may not always be knowingly siting projects in places where significant solar or wind generation would be impractical or even impossible. (We would just note that Fort Wayne, Indiana, has an opposition risk score of 84 in Heatmap Pro, meaning it would have been a very risky place to build a renewable energy project even without that restrictive ordinance.) It also indicates some areas may be laying down renewables restrictions after seeing data center development, which is in line with a potential land use techlash.
Wilson told me that two thirds of data centers rely on power from the existing energy grid whereas surveys indicate about a third choose to have at least some electricity generation on site. In at least the latter case, land use constraints and permitting problems really can be a hurdle for building renewable energy close to where data is processed. This is a problem exacerbated when centers are developed near population centers, which Wilson said is frequently the case because companies want to reduce “latency” for customers. In other words, they want to “reduce the time it takes to get answers to people” via artificial intelligence or other data products.
“The primary challenges are the size of the data center and the amount of space it takes to build renewables,” he said. “They are moving from 20 megawatt or 40 megawatt data centers to 100, 200, 300 megawatt data centers. It’s really hard to locate that much renewable [energy] right near a population center. So that requires transmission, and unfortunately right now in the U.S. and in many other countries, transmission takes a significant amount of time to build.”
The majority of data centers are served by regional power grids, Wilson told me. Companies like Google, Meta, and others continue to invest in renewable energy procurement while building facilities in areas that have restricted new solar or wind power infrastructure. In some cases, companies may feel they’re forced to seek these places out because the land is just plain cheap and has existing fiber optic cable networks.
At the same time, there are large data centers getting energy generated on site, and how they each approach their energy sources varies. It’s also not always consistent.
For instance, Meta’s new Prometheus supercluster complex in New Albany, Ohio — potentially the world’s first 1 gigawatt data center — will reportedly have a significant amount of new gas power generation constructed at the facility, even though the company also struck a deal with Invenergy over the summer to procure at least 400 megawatts of solar from two projects in Ohio that already have their permits. One is in Clinton County and was fully permitted but resulted in a years-long fight before the Ohio Power Siting Board and included conservative media backlash. The other is in Franklin County and got its permits in 2021, before a recent wave of opposition against solar projects. Prometheus itself will be sited on the Licking County side of New Albany, where solar has been extremely difficult to build, even though most of this Columbus suburb is in solar-supporting Franklin.
Meanwhile, Elon Musk’s xAI data center notoriously relies on a polluting gas plant in Memphis, Tennessee. The surrounding Shelby County had a solar moratorium until mere months ago that residents want to bring back. An affiliate company of xAI used for the project’s real estate is subleasing land near the data center for a solar farm, but it is unclear right now if it’ll power the data center.
In the end, it really does seem like data centers are being sited in places with renewable energy restrictions. What the data center developers plan to do about it — if anything — is still an open question.
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Water pollution in Wyoming has big implications for the future of data center development.
Did a Meta data center introduce a rare, dangerous bacteria into the sewers system of Wyoming’s capitol city? It’s an environmental pollution mystery with an answer that could decide the future of American AI infrastructure development.
Our drama begins in Cheyenne, Wyoming, where the city’s board of public utilities just wrapped up a lengthy investigation into the presence of Cupriavidus gilardii, a potentially lethal bacteria resistant to heavy metals, in the city’s wastewater treatment systems. Apparently, in February, board staff detected the contamination and shut off public access to the city’s water reuse system, a supply of treated non-potable water fed with treated wastewater and used for lawns, athletic fields, and other green spaces. Officials were worried that spraying this water could release into the environment a bacteria found to cause fatal health outcomes in immunocompromised or elderly people who are infected by it.
The board then identified a culprit – Goat Systems LLC, a Delaware-registered firm without a website Meta tasked with overseeing its large $800 million hyperscale project in Cheyenne dubbed Project Cosmo. Goat Systems lost its wastewater disposal permit. The board plans to also fine Goat Systems for violating city code “along with additional fees for our remediation efforts,” board public affairs coordinator Erin Lamb told me in an email. (The only person publicly affiliated with Goat Systems is Pamela Gregorski, an employee for a company that specializes in creating LLCs. Gregorski, who is linked to other LLCs handling Meta projects across the country, did not reply to requests for comment.)
In public comments and statements to me, the board linked the bacteria to water used to flush the Meta data center’s closed-loop cooling system so debris could be removed before the facility was operational. “We were able to connect the Meta data center campus to this through sampling their site,” Lamb said.
This finding led Cheyenne to also indefinitely ban data center projects in the city from ever disposing of “fill-and-flush water” in the sewer system again.
Meta has not denied contamination was found by the city, but says repeated sampling at its project site failed to come up with any evidence confirming they were the source. One can imagine a scenario where the data center and its design played no role in this bacteria showing up, or that city officials erroneously tagged the tech company with responsibility at a time when they’re dealing with political troubles already.
But what is happening in Cheyenne, first reported last week by Wyoming local press, will have consequences for the future of AI infrastructure whether or not Meta was actually even responsible. Right now, all over the country, tech companies are failing to get permits for their data centers because people are worried about water use. These closed-loop data center designs are supposed to address those concerns, letting large hyperscalers contain, cycle, and reuse the water they use for months or even years. A story like this gaining traction in public discourse around data centers will inevitably damage the sector’s public image unless rectified – and fast.
Cheyenne’s claims about the Meta data center being responsible for the bacteria have already metastasized on social media, disseminated through channels often cited by data center opponents on the ground elsewhere in the country. “REPORT: ‘RARE’ BACTERIA DISCHARGED INTO WYOMING WATERSHED LINKED TO DATA CENTER,” reads one post by a Facebook user Izzy Bella that has been shared more than 2,600 times. “Think of this the next time you hear blatant greenwashed lies like ‘closed loop cooling.” This post has been shared by major anti-data center groups on Facebook, including Pennsylvania Data Center Resistance, a social media page for organizing against projects in the Keystone State.
Going solely off what happened in Wyoming, some in the state are concerned the process of cleaning these loops before opening a data center can produce some nasty byproducts. Dr. Jonathan Brand, a civil engineering professor at University of Wyoming, has been studying the data center buildout in Wyoming for years, watching what’s happened in Cheyenne closely, and like me has way more questions than answers.
Usually, Brand said, a company using water in metal-intensive industrial applications – think a metal plating facility – has to test that fluid before it’s dumped into a municipal sewer system. The chain of events spelled out by the board left him “guessing that didn’t happen here,” and he’s worried the bacteria formed within whatever petri dish-like environment was created inside the network of looping pipes before it was flushed.
“The bacterium was the canary they saw, but you could have a lot of residual metals, which is not something we normally test for at a wastewater plant,” he said. “What else was in that discharge? Nobody else has let us know that and they’re probably not going to.”
City officials claim the water was tested before it entered the sewer and was missed, but there’s a trust deficit between locals and the government on what happened. Little of this information was public until a few weeks ago. Cheyenne residents first learned trouble was afoot on June 26, when the board posted a press release “reminding all residential, commercial, and industrial customers that the discharge of hazardous substances into the sanitary sewer system is strictly prohibited.” Nothing was included about data centers at all; all the board said was that the bacteria was dumped by “an industrial user within the system.”
Then Exie Brown, a Cheyenne resident and GOP candidate for state house, blasted a press release out on social media declaring “a credible source with knowledge of the [board] investigation and sampling” told him the “industrial user” was a data center.
I reached out to Brown asking how he learned about this. His answers were cryptic. “I was given a piece of paper with that name of a bacteria on it,” he told me over the phone, declining to name the “very credible source” who told him about the contamination. “That it was released into our waste water system, that it came from a data center, that it was Meta, that they found out in February, and I needed to check into this.” When I asked why the piece of paper, he replied: “Because they [the source] wanted to keep this quiet. Off the phones and stuff.”
City officials deny any malintentions behind the delay and claim they’re learning about all of this at the same pace as the average resident. “We learned here a week or so ago,” Cheyenne mayor Patrick Collins told me in an interview. He added this wouldn’t have stirred as much interest “had it been something else,” referencing the fact it was from a data center.
“As I understand it, the contractor that was building the site was flushing out a closed-loop cooling system, and when they tested the water everything seemed to be fine, but when it was released into our system, bacteria had grown and was released into our wastewater treatment,” Collins said. “It just happened to be a data center. It’s an unfortunate and highly regrettable situation.”
The mayor acknowledged this contamination will make it “a little tougher” to argue for more data centers in the city. There are currently 10 operational data centers in Cheyenne and surrounding Laramie County, according to estimates from pro-business group Cheyenne LEADS, which has said five projects are under construction – including the Meta facility – and at least nine others are “in various stages of planning or due diligence.”
On Monday, the Cheyenne city council will vote on whether to annex land owned by various nearby property owners for more data center deals, including parcels owned by the family of U.S. Senator Cynthia Lummis. Before this event, Cheyenne was incredibly resistant to the anti-data center backlash, handily rejecting proposals to pause development.
Collins thinks Cheyenne will still be open to the tech sector. But the bacteria changed things. “I recognize there’s going to be challenges as we move forward. It’s something we’re going to have to look into. This was a regrettable situation that happened.”
We will see more transparency soon from the Cheyenne city government about the contamination. The board tells me it’s planning a press conference next week where Lamb told me “more information will be made available.”
Francis Brennan, a public affairs manager in the company’s strategic response division, provided me with a statement from an unnamed “Meta spokesperson” claiming that Fortis – the construction company hired by Meta and Goat Systems LLC – was directly handling water disposal on site. After the board “shared that it found a substance in the city’s wastewater” the construction company “began hauling it offsite.” Meta claimed Fortis has not been able to corroborate the presence of this bacteria in comparable water samples.
“Meta is committed to being a good neighbor in Cheyenne, including through the protection of local water resources, and will continue encouraging collaboration between Fortis and the board until this situation is revoked,” the statement read. Meta declined to answer follow-up questions..
Fortis confirmed they were responsible for dumping water on site when the contamination was discovered. They stated they’ve been unable to confirm the presence of the bacteria. In a statement provided to me, the company said: “Immediately upon learning of the issue, we stopped discharging water into the city’s wastewater system. We have since engaged in a thorough investigation that has included ongoing repeat testing by independent environmental specialists and have found no trace of the substance.”
A conversation with Ross Marchard of the Taxpayers Protection Alliance
This week’s conversation is with Ross Marchard, executive director for the Taxpayers Protection Alliance, a center-right advocacy group that focuses on what it sees are onerous policies potentially hindering responsible collection and use of tax dollars. TPA’s position on AI clearly skews pro-free market, as they’ve recently defended Anthropic from Trump administration attacks. TPA also recently took on the mantle of defending data centers from noise complaints, publishing a paper on Tuesday “debunking myths about data centers being excessively noisy.” The paper references various analyses of data centers by state legislators and local regulators to argue that claims the sector is generally noisy are false.
I asked TPA’s executive director to chat with me about why and how the organization will try to quell these fears. The conversation was really interesting so I decided to share it with you in full, sans light editing for clarity and consistency.
What prompted you to write this report?
Obviously, data center projects have been getting so much media attention. With that attention there’s an outsized share of misinformation in coverage of these data center projects, and politicians have irresponsibly spread this misinformation to try and enact moratoria and heavy-handed restrictions on these projects
TPA wanted to get the truth out. Make sure local residents living alongside these data centers have access to all the information they need. Make sure this misinformation is countered.
Before we get into the noise aspect, how is this focusing on “taxpayer protection”?
Sure, well, great case in point is Loudon County. They’ve embraced data centers and look what’s happened, they take in a billion dollars a year in revenue from these data centers and it’s allowed them to lower property taxes. You see a wider pattern across communities. They rake in a tremendous amount of tax revenue and increasingly common well-paying jobs, six-figure blue collar jobs that are a direct result of allowing data centers into communities.
I know you’re based in D.C., near Loudon County. I went to a data center in Sterling, Virginia, in that county, and it was especially noisy. Sort of a worst case scenario on that. Your report talks about misinformation around noise and data center – where is the misinformation happening on this issue?
We saw a recent court case out of New Jersey that alleges data centers generally are as loud as helicopters. Look, anything is possible for a particular project. But what we can say based on our analysis of the data, studies and sound impact assessments, and analyses by state and local governments is that this isn’t the case for the vast majority of data centers.
No use of land is going to be sound-free. I live right on Georgia Avenue in Washington, D.C., so I know noise. But everything we analyzed showed data centers and energy generation on site are going to make some noise but not enough to be harmful to human health. Often it’s no louder than the typical conversation between two people.
Speaking of Loudon County, though, I can point to an example of a project I myself visited that was I’m sure welcomed at first on tax revenue grounds. Now people seem to regret that decision.
As someone trying to address those who are concerned, is it helpful for you to really just call this concern rooted in misinformation? Is this really going to be potent when projects like the one in Sterling exist?
First and foremost, it’s very important to listen to people and their concerns. If folks are living alongside a data center and say they’re hearing loud noises, that warrants investigation. But it’s also important to look at the full array of evidence and we’ve done that. So far, it does not appear to be the case based on the overwhelming amount of evidence that is publicly available that data centers use a lot of water, use inordinate amounts of electricity, or are loud in a way that disrupts human health.
What do you think the policy solutions are to address these noise concerns? How do you listen to people, without going into overgeneralization, as you put it?
People tend to point out the loudest data centers are the ones with on site energy generation. If you ask the operators of data centers and the companies building data centers, they’ll tell you more often than not the reason they’re putting generation on site because the utility permitting process takes far too long. That’s the result not necessarily of utility regulations but state regulations foisted upon utilities. So you have to look at everything from state regulation to grid operation regulation. If you make the process easier for data centers to get hooked up to the grid, you’ll see less on site energy generation, and a lot of the noise complaints will go away.
So from your standpoint, a solution to the noise complaint is that it should be easier to hook up to the grid?
Yes. If you allow data centers to get hooked up to the grid, you’ll see fewer diesel generators and that’ll mean fewer noise complaints.
Now, I want to be clear, the vast majority of data centers with noise complaints – those are usually because of on-site energy generation – are not unduly noisy. If you want to cut down on those complaints, what makes the most sense is to make it easier for data centers to hook up.
Fun question to close: what was the last song you listened to?
“Yellow” by Coldplay.
Are you listening to “Yellow” while you’re writing about data centers?
I listen to the song sometimes when I’m writing about data centers. It’s also a very good somber reflection song, which is a pretty common sentiment amongst millennials.
And more of the week’s news around project development.
1. Barnstable County, Massachusetts – I have a whopper of an update on the Vineyard Wind project, which might be in operation but risks becoming fodder in the fight against offshore wind.
2. Prince William County, Virginia – Northern Virginia is officially hostile territory for data center developers, and I learned about it through a call from my mom.
3. Marion County, Indiana – Indianapolis will have special data center zoning rules soon and they’re upsetting the opposition to new projects.
4. Palm Beach County, Florida – This populous county home to Mar-a-Lago has frozen data center development.
5. Finney County, Kansas – If you want one ray of sunshine, at least it’s still possible to get permission for a large solar farm in flyover country.