Technology companies are offering communities more money and more information about proposed data centers as residents push back over electricity bills, water use and secret negotiations. Local opposition is delaying or blocking projects, forcing companies to address concerns that promises of jobs and tax revenue have not resolved, The Associated Press reported.
“Early public consultation is increasingly a very important part of the process,” Devi Thomas, Google’s global head of community development and engagement, told AP. Google and Meta officials said they were working to address mistrust in communities where they want to build.
Amazon announced October 2 that it had stopped using nondisclosure agreements with government agencies on its projects. Such agreements have drawn criticism for keeping residents in the dark while companies and local officials discuss developments. Amazon also pledged to publish annual information about its data centers’ energy consumption, water use and efficiency.
The company’s new Built Together program promises more than $1 billion in additional community investment over five years, with priorities including education, workforce preparation and resource affordability. How much individual communities will receive, and under what terms, remains to be seen.
Microsoft addressed electricity costs in its January announcement: “We’ll pay our way to ensure our datacenters don’t increase your electricity prices.” Its plan calls for utility rates high enough to cover the cost of serving its facilities, including the additional power infrastructure they require.
Microsoft also promised to limit water use, replenish more water than its facilities consume, create jobs and contribute to local taxes, training programs and nonprofits. The company acknowledged that communities may welcome investment while objecting to higher utility bills or greater pressure on water supplies.
Critics question whether the new commitments will change how companies operate. Sam Burleigh, who helped organize opposition to a possible Amazon-backed project in Montour County, Pennsylvania, told AP the companies were encountering “more resistance than they ever dreamt of.” Kathryn Hoffman, executive director of the Minnesota Center for Environmental Advocacy, told AP she saw more public relations outreach from Google without enough disclosure of critical project details.
Local reviews will put those promises to the test. Residents and officials will have to examine who pays for utility upgrades, what companies disclose before approval and whether promised benefits are written into enforceable agreements.