Local data centers test if there's a "right way" to build
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Western Pennsylvania's two biggest data center projects are making strides to mitigate opposition, but it might not be working.
The big picture: As backlash against hyperscale data centers grows, some Pennsylvania companies are responding by generating their own power and water and choosing sites that previously housed dirtier industry.
- It begs the question of whether there is a "right way" to develop data centers in an era when opposition comes from left, right and center.
Case in point: Aligned Data Centers broke ground this month on a 2-gigawatt campus at the former Bruce Mansfield coal plant in Shippingport, Beaver County.
- It will be powered by on-site natural gas generation rather than the local electric grid.
- The 650-acre campus plans to use a closed-loop cooling system to reduce water needs.
- Aligned says it will adhere to Gov. Josh Shapiro's executive order adding guardrails to data center development.
What they're saying: Aligned CEO Andrew Schaap has called the site "the future of responsible data center development."
The latest: Shippingport's mayor and council support the project, but residents have filled public meetings to voice their opposition.
- At a Tuesday meeting, Jennifer Brown said "with AI and data centers, I think municipalities need to slow down and let regulation catch up."
Homer City's massive 4.5-gigawatt data center campus, which will be fueled by an on-site natural gas power plant, is seeing similar pushback.
- Opposition has only grown since Amazon submitted an application to develop 36 data centers on the site, she said.
Zoom in: Indiana County residents are worried about the campus' water usage, noise levels, greenhouse emissions and pollution, higher utility rates and impacts on property values, said Tamara Whited of opposition group Concerned Residents of Western PA, who lives less than 10 miles from the site.
Yes, but: The campus has its own water source, Two Lick Reservoir, which was constructed as part of the old coal power plant that used to be on the site, according to developers Homer City Generation.
- A modern water treatment facility is also being built to treat the discharge.
- The plant will also generate an extra 700 to 800 megawatts to the grid in hopes of bringing down local electricity rates.
Between the lines: Homer City Generation spokesperson Kate Sylvester said the new project has provided 1,800 jobs so far and created other economic impacts to small businesses in Indiana County.
- Amazon said their data centers would provide 1,500–2,000 jobs paying between $80,000 to $100,000 each.
The bottom line: Whited acknowledges community benefits will sway some in Homer City, but ultimately she believes the scale of that campus — 3,200 acres and one of the largest projects in the nation — will be too disruptive and change the character of the area.