AI Data Center Expansion Collides With Industrialized Neighborhoods

As the global race for AI dominance intensifies, the resulting surge in data center construction is meeting fierce resistance from American communities, particularly those with a history of industrial pollution, as TechCrunch first reported. In Philadelphia, activists are calling for a moratorium on new data centers after city officials identified two potential construction sites: one in Northeast Philadelphia and another in the Grays Ferry neighborhood of Southwest Philadelphia, according to TechCrunch.

For residents of Grays Ferry, the fear is rooted in past trauma. Shawmar Pitts, managing co-director of the environmental justice group Philly Thrive, grew up next to the East Coast's largest oil refinery, which ceased operations following a 2019 explosion. Pitts told TechCrunch that many of his family members and neighbors suffered from chronic health conditions linked to the refinery. Similarly, Sonya Sanders, board president of Philly Thrive, believes emissions from the refinery caused her husband's death from a rare bone cancer in 2020.

While data centers may not have the same immediate impact as a refinery that processed 335,000 barrels of crude oil daily, their cumulative energy demands are staggering. TechCrunch reports that BloombergNEF predicts U.S. data centers will consume more natural gas by 2035 than Japan and Germany combined—a projection nearly double what the firm estimated nine months prior. This demand is expected to generate an additional 1 million metric tons of greenhouse gas pollution daily, representing approximately 12% of current U.S. greenhouse gas emissions.

Critics warn that these facilities bring significant environmental and social costs. Annie Fox, an attorney with the Clean Air Council, noted at a rally that Pennsylvania data centers often include hundreds of diesel engines. While intended for emergencies, Fox told TechCrunch that government guidance suggests using these engines during heat waves to avoid overstressing the electrical grid, which in turn worsens climate change. Other concerns raised by residents, such as Philadelphia's Donna Greenberg, include noise pollution, increased surveillance, and the depletion of water and electricity resources.

This pushback is part of a national trend. TechCrunch reports that moratoriums on data center construction have already been approved in several cities, including Reno, Asheville, Charlotte, Indianapolis, and Denver. In New York, Governor Kathy Hochul signed an executive order temporarily blocking new permits for large projects, stating that such facilities should only be built in locations that want them.