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Datacenter developers accused of avoiding US pollution controls

Environmental advocates allege that some datacenter developers are manipulating the US EPA's air pollution permitting process to avoid stricter emission controls and project scrutiny. This is reportedly achieved by dividing emissions sources into multiple 'minor' permits.

  • Environmental advocates claim some datacenter developers are using multiple 'minor' permits to avoid 'major' reviews for air pollution.
  • This practice can lead to faster permit approvals, less public scrutiny, and potentially lower costs for tech companies.
  • Examples include Amazon and Duke Energy in North Carolina, and the Project Jupiter datacenter in New Mexico, which withdrew its application after community opposition.

Datacenter developers are reportedly manipulating the US Environmental Protection Agency's (EPA) air pollution permitting process, according to environmental advocates. These groups allege that companies are dividing their emissions sources into multiple 'minor' permits to avoid more stringent 'major' reviews, which require greater regulatory oversight and public scrutiny.

This approach can result in quicker permit approvals and may help tech companies avoid the costs and complexities associated with potential pollution controls. Datacenters can be sources of various air pollutants, including nitrogen oxide, ozone, heavy metals, particulate matter, and greenhouse gases.

In North Carolina, Amazon and Duke Energy are installing 649 diesel generators for a new hyperscale centre. They submitted two permits, reportedly avoiding a major review despite the location being a low-income area with existing high levels of air pollution. Similarly, in New Mexico, Project Jupiter datacenter developers proposed two natural gas 'microgrids' with two 'minor' permits, which attorneys described as an attempt to circumvent a major review. The Project Jupiter application was later withdrawn in April amid community opposition.

Michael Koerber, a retired deputy director of the EPA’s Office of Air Quality Planning and Standards, described the practice as "lego permitting," stating that developers "want to fly under the radar." Cheryl Vetter, a former EPA employee, noted that this tactic for datacenters became more common after she left the agency last year. An Amazon spokesperson stated the company "appropriately applied for and obtained an air permit for our datacenter project."

Why this matters: The alleged manipulation of pollution permits could mean that residents living near datacenters are exposed to unclear levels of air pollution, potentially impacting public health in areas already burdened by existing pollution.

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