Avista Utilities Pauses Negotiations for 500-Megawatt Data Center

Avista Utilities paused energy service negotiations with a developer for a proposed 500-megawatt data center on June 12, 2026. The decision followed significant community opposition and the disclosure of a memorandum of understanding between the utility and the developer.

In response to the project, the Spokane City Council introduced an emergency ordinance proposing a one-year moratorium on new data center building permits. Avista President and CEO Heather Rosentrater stated that the pause allows for a coordinated planning effort with stakeholders to address water permitting, energy reliability, and cost-shifting concerns.

Avista established four guiding principles for future large-load requests. These include ensuring existing customers do not pay for new service costs, completing engineering studies prior to service, obtaining state regulatory approval for final agreements, and ensuring projects provide net benefits to customers.