A 9-gigawatt data center has caused anger in a Utah community. The governor has just implemented new regulations.

      Utah's governor has issued an executive order that sets new standards for data center development in the state, following protests regarding a 9 GW project supported by Kevin O’Leary. Governor Spencer Cox's order, which took effect immediately, aims to create a “higher bar for data center development” in response to months of community backlash against the Stratos Project—a 40,000-acre hyperscale data center campus with a potential power capacity of 9 gigawatts.

      The new framework outlines eight principles concerning water resources, air quality, wildlife protection, utility rate effects, and requirements for public comments. Cox stated on social media that “Utahns deserve confidence that water resources, air quality, utility rates, wildlife, and quality of life will be protected.”

      The executive order mandates state agencies to implement the framework and requires that Stratos developers follow a phased approach, obtaining new permits for each planned expansion rather than seeking a single blanket approval.

      Despite considerable community opposition, Box Elder County commissioners approved the Stratos Project. Local residents have attended council meetings, organized petitions, and protested outside the Utah State Capitol, submitting over 2,000 questions and concerns which encompassed both supportive and critical feedback, as noted on the project's website.

      O’Leary has consistently defended the development, alleging that “professional protesters” were behind the controversy and claiming that funding from China was fueling the outrage. Local residents have dismissed both claims.

      Supporters argue that the data center will generate jobs and promote economic growth, while opponents express worries about water usage, noise, air quality, traffic, and the impact on the already struggling Great Salt Lake.

      The global competition to create AI data center capacity is escalating, with SoftBank recently announcing an investment of €75 billion for 5 gigawatts in France. The Stratos Project would provide nearly twice that capacity at one site. This high demand for AI infrastructure is resulting in land-use conflicts that local governments are ill-equipped to resolve.

      Data centers are increasingly viewed as essential infrastructure. In the Gulf, they have become the targets of drone attacks, while in Utah, they are facing petitions. While the political contexts differ, the underlying issue remains the same: such infrastructure necessitates vast amounts of power, water, and land, and local communities are insisting on having a say in the process.

      This issue is gaining political traction as the U.S. midterms approach, with communities nationwide opposing data center developments. For instance, in February, residents in New Brunswick, New Jersey, successfully halted a data center proposal. The NIMBY sentiment that previously centered on housing and wind farms has now shifted focus.

      The energy aspect heightens the situation, with xAI utilizing unregulated gas turbines for data centers in Memphis and SoftBank's Ohio project planning a $33 billion investment in natural gas-generated electricity. The details of the Stratos Project's energy source remain undisclosed. For communities concerned about air quality and carbon emissions, the energy source holds as much significance as the facility itself.

      Cox’s executive order reflects a political response to a growing issue, with AI computing demand anticipated to spike in the coming years. The necessary infrastructure must be established somewhere. Utah isn’t rejecting data centers outright but is instead insisting on regulations, public input, and protection for the Great Salt Lake.

      The effectiveness of the executive order in balancing a 9-gigawatt project against the interests of a small community will be examined by Box Elder County over the next few years. O’Leary refers to the project as “Wonder Valley,” while local residents have a different name for it. The governor aims to find a mutually acceptable solution.