Tucson City Council Blocks Massive Data Center Project Over Water and Energy Concerns

Arizona city council has voted unanimously to stop work on a massive data center project due to concerns over water and energy usage. The project, dubbed "Project Blue," was proposed by Beale Infrastructure and was tied to tech giant Amazon. Despite the city's climate goals, the council cited utility usage as a major concern. Beale Infrastructure called the vote a "missed opportunity for the City" and plans to share future plans.

Tucson, AZ – In a unanimous vote, the city council has directed all staff to cease work on a massive data center project known as "Project Blue." The project, proposed by Beale Infrastructure and potentially tied to tech giant Amazon, was slated for construction on 290 acres in Pima County. However, concerns over water and energy usage led to the council's decision to halt the project.

The project, which required approval from both the city and the county, was met with opposition from residents and local officials. Councilmember Kevin Dahl, during the meeting, cited utility usage as a significant concern, stating that the data center would demand more water than four golf courses and a substantial amount of power [1].

Amazon Web Services (AWS) has not yet committed to the project, with a spokesperson stating that AWS engages in standard due diligence processes in Arizona and will continue to assess potential geographic regions [1]. Beale Infrastructure, which partners with leading technology companies to develop data centers, called the council vote a "missed opportunity for the City" and plans to share future plans [1].

The decision to stop work on Project Blue comes amid growing concerns about the environmental impact of data centers. The council's decision reflects a broader trend of cities and local governments considering the long-term sustainability of data center projects, particularly in areas with limited water resources [2].

Separately, land developer Vermaland is planning a $33 billion data center in Arizona, dubbed the La Osa Project. Located in Pinal County, this project seeks to rezone the land from residential to employment and public facilities [2]. The project, which could support up to 3GW of capacity, has faced concerns from environmental groups and local officials about its environmental impact and feasibility [2].

These developments underscore the complex interplay between economic growth, environmental sustainability, and public policy in the data center industry. As data centers continue to expand, cities and local governments will need to balance the economic benefits with the environmental costs.

References:
[1] https://www.foxbusiness.com/economy/arizona-city-defeats-massive-data-center-project-over-water-energy-concerns
[2] https://www.datacenterdynamics.com/en/news/land-developer-vermaland-plans-33bn-data-center-in-arizona/