Data Center Opposition Growing Across States

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Written by John Egan for IIR News Intelligence (Sugar Land, Texas)

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Summary

Opposition to data centers is accelerating across the U.S. One research group said at least $156 billion of proposed projects were cancelled or delayed in 2025.

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Data Center Opposition Grows

Opposition to planned data centers is growing across the country, with at least 11 states that have considered enacting moratoria on new facilities. Large crowds have gathered to protest planned data centers. Numerous proposed projects have been cancelled or delayed. State utility commissions are instructing electric utilities to insulate residential customers from the financial impact of data center construction.

And this week, someone shot at the home of an Indiana politician who has supported data centers. A note saying "No Data Centers" was tucked under the home's front door mat, according to The Washington Post.

"Local opposition to data centers is rising, and consolidating," Miquel Vila, lead researcher at applied AI research firm 10a Labs, said in an interview with IIR News Intelligence. "Until recently, opposition was fragmented and localized, but it is becoming more mainstream and interconnected now."

As evidence of that, he said Change.org has collected more than 400,000 signatures from citizens and businesses across the country opposing, to one degree or another, the construction of data centers.

Vila said 10a Labs tracked one data center project that was either delayed or cancelled in 2023, 15 in 2024 and 48 in 2025. Of the 48 proposed data center projects affected in 2025, he said, 17 were delayed and 31 were cancelled.

The value of proposed projects that were delayed or cancelled last year was at least $156 billion, he added.

In a report last year, 10a Labs said 20 data center projects were blocked or delayed between late March and June. The aggregate value of those projects was about $98 billion. For more on that, see December 9, 2025, article - U.S. Data Center Buildout Hits Obstacles--Speed Bumps or an Iceberg?

Opposition to the planned facilities "skyrocketed" during last year's second quarter, Vila said.

IIR's Global Market Intelligence (GMI) platform shows that 186 data center projects that were scheduled to begin construction between January 2025 and December 2027 have been delayed or cancelled. The aggregate value of these projects is about $97.7 billion. Approximately 132 of these proposed projects have been cancelled while the remaining 54 have been placed on hold. Subscribers to Industrial Info's GMI Manufacturing Industry project database can access a list of detailed project reports.

The states with the largest dollar value of project cancellations or delays are:

• Arizona (seven projects valued at $15.725 billion)
• Virginia (32 projects worth $13.8 billion)
• Ohio (33 projects valued at $10.6 billion, and
• Indiana (18 projects worth slightly under $10 billion)

States, Citizens Push Back

Eleven states have considered moratoria on data center construction, 10a Labs' Vila said. Those states include:

• Michigan
• Minnesota
• Maine
• New Hampshire
• Vermont
• New York
• Maryland
• Virginia
• Georgia
• South Carolina
• Oklahoma

A number of state utility commissions, which regulate electric utilities, have set up guardrails of their own to ensure data centers pay their own way, and not shift costs of data center electric service to residential and small businesses. For more on that, see October 22, 2025, article - State Regulators Set Up Guardrails on Aggressive Data Center Construction Plans.

In addition, last month the Florida House of Representatives overwhelmingly passed a measure, SB 484, to limit the growth of hyperscalers, according to a report in The News Service of Florida. GOP Rep. Griff Griffitts, the House bill's sponsor, said, "Data centers bring innovation and economic opportunities. This does not ban data centers. It simply puts guardrails in place so locals can have some controls."

An earlier version of the bill would have restricted local governments from entering nondisclosure agreements involving the potential development of a data center, the news outlet said.

Florida Governor Ron DeSantis, who is term-limited, has come out strongly in favor of restraints on artificial intelligence (AI). The bill was sitting his desk, awaiting his signature.

This November, Ohioans may vote on a constitutional amendment to ban construction of large new data centers that consume over 25 megawatts (MW) of electricity. The Ohio Ballot Board approved the language of the initiative, and now supporters need to gather more than 400,000 signatures to get the measure on the ballot in November, reported Columbus TV station KBNS-10, a CBS affiliate. A grassroots group, Ohio Residents for Responsible Development, organized the collection of signatures.

The Scene in Rural Georgia

IIR News Intelligence Energy Analyst Paul Wiseman was in Georgia last week when he witnessed local opposition to data centers firsthand.

"As I stood at the corner of Main and E. Broome in quaint downtown LaGrange, Georgia, I strained to hear other people speak over the roar of ... data center construction trucks (271-acre site) that were crowding the two-land road that abutted the project's 271-acre construction site. A few miles away, residents of equally picturesque Hogansville are also straining to be heard pushing back against another proposed 437-acre data center planned for their community."

"Just about every other residential yard hosted a sign urging resident to 'Say NO to Data Centers' ... Opponents have created the Troup County Anti-Data Center Coalition to focus their efforts."

"What's happening in Georgia," Wiseman said, "is a microcosm of the rising tide across rural America against the unbridled expansion of data centers. Not only their size, but their significant power and water demands are points of concern."

Reasons Citizens, Politicians are Concerned

The rising opposition is driven by a number of factors, including:

• Secret negotiations over tax incentives and tax abatements that city councils are having with data center developers.
• The potential impact on residential and small business electricity prices resulting. from huge capital outlays made by electric utilities to build generation and infrastructure to serve data centers.
• The demand for water, especially in arid areas, that data centers represent.
• How data centers will change the character of the community, including land-use changes and a lack of jobs created after the facility is constructed.

Vila of 10a Labs said, "In this year's mid-term elections, we'll see how local opposition" will affect races for the U.S. House and Senate.

Key Takeaways

• Citizens and lawmakers across the U.S. are increasingly pushing back on proposed data centers and AI.
• In 2025, about 48 proposed data center projects worth approximately $156 billion were cancelled or placed on hold, according to the research firm 10a Labs.
• According to IIR's GMI platform, 186 U.S. data center projects that were scheduled to begin construction between January 2025 and December 2027 have been delayed or cancelled. The aggregate value of these projects is about $97.7 billion.

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About IIR News Intelligence
IIR News Intelligence is a trusted source of news for the industrial process and energy markets, powered by Industrial Info Resources' Global Market Intelligence (GMI).

About Industrial Info Resources
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking over 250,000 current and future projects worth $30.2 Trillion (USD).