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States rethink data centers as ‘electricity hogs’ strain the grid
State Sen. Norm Needleman championed the 2021 legislation designed to lure major data centers to Connecticut.
Still, states have offered massive subsidies to lure data centers — both for their enormous up-front capital investment and the cachet of bringing in big tech names such as Apple and Facebook. But in other states, the growth of the industry is raising alarms over the reliability and affordability of local electric grids, and fears that utilities will meet the demand by leaning more heavily on fossil fuel generation rather than renewables. Teague, who lobbies the legislature, said South Carolinians, including more than 700,000 people living in poverty, shouldn’t have to pick up the tab for tax or utility breaks for major data center firms.
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