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TECHNOLOGY · OCT 20, 2026

US Local Governments Reject Data Center Projects Over Resources

Local governments across several US states are rejecting data center developments due to resident concerns over water consumption and environmental impacts.

Local governments across the United States are increasingly rejecting data center developments following intense resident opposition. The Pinal County Board of Supervisors in Arizona recently voted down a large data center campus, mirroring similar project failures in Florida, Virginia, and North Carolina.

Residents in these regions cite concerns over high water consumption in arid climates and the environmental impact of backup diesel generators. Critics also point to a lack of transparency regarding how these facilities utilize local resources. While the Food and Agriculture Organization reports that agriculture accounts for approximately 72% of global freshwater withdrawals, the local impact of data centers remains a flashpoint for communities.

Data from the Lawrence Berkeley National Laboratory estimated that U.S. data centers used 17 billion gallons of water for cooling in 2023, with usage projected to rise by 2028. Industry experts suggest the sector must publish site-specific energy and water data and adopt climate-appropriate cooling technologies to regain public trust and avoid blanket opposition to new projects.


Reported across 2 outlets
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Lawrence Berkeley National Laboratory

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