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Metro Atlanta Faces Growing Concerns Over Data Center Expansion

Atlanta cityscape with data centers and nature

Atlanta, Georgia, October 26, 2025

News Summary

Atlanta, Georgia is experiencing rising concerns over the expansion of data centers due to environmental impacts and resource consumption. With approximately 100 existing data centers, major tech firms are drawn to the region’s fiber optic infrastructure, leading to fears about increased electricity and water rates. The Public Service Commission is evaluating a proposal to add significant energy resources primarily for data centers, raising questions about long-term sustainability and local resource priorities. Communities are voicing their concerns as regulatory oversight remains limited.

Metro Atlanta Faces Growing Concerns Over Data Center Expansion and Environmental Impact

Atlanta, Georgia, is grappling with significant concerns regarding the expansion of data centers in the region, which is quickly becoming the country’s hottest market for such facilities. The area is home to approximately 100 existing data centers and several dozen other proposed locations, drawing interest from major tech firms and substantial investments.

One of the primary attractions for data centers in Atlanta is its extensive fiber optic infrastructure, coupled with available land and low-cost water supplies. Georgia Power has committed to heavily investing in infrastructure to entice data center developers, with an allocation of hundreds of millions in taxpayer incentives. However, the rapid proliferation of these facilities has raised alarms reminiscent of the dot-com bubble of the late 1990s, emphasizing a speculative boom in the data center industry.

A significant concern surrounding the establishment of large data centers is their consumption of resources. Each data center can use as much power and water as a small city, leading to questions about local resource allocation. Residents fear that the prioritization given to data centers might result in increased electricity and water rates, as well as a potential neglect of residential water needs. Additionally, environmental degradation has become a pressing issue as communities voice their concerns.

Currently, government oversight of data center development in the region is minimal, with no state agency tasked with tracking the proposed centers. This lack of transparency has fueled protests and local bans as communities attempt to safeguard their resources and financial interests. Critics argue that forthcoming data center developments are not sufficiently transparent about their energy and water requirements, heightening apprehension amid ongoing drought conditions in metro Atlanta.

As part of the efforts to accommodate growing energy demands from data centers, the Public Service Commission (PSC) of Georgia is examining a proposal to add 10 gigawatts to Georgia Power’s grid. Notably, 80% of the proposed energy is expected to serve data centers, which could have substantial implications for future energy needs. Residents suspect that utility costs may rise significantly as a result of this shift in energy allocation.

Concerns about the environmental impact of reliance on fossil fuels are also at the forefront, with 60% of the energy in the grid proposal projected to come from natural gas. Although Georgia Power has asserted that new regulations will ensure data centers cover their upfront energy costs to prevent financial burdens on residential customers, the outcome remains a topic of debate within the community.

The PSC, alongside Georgia Power, highlights the necessity of meeting future energy demands as a fundamental driver for economic growth. The upcoming elections for PSC members may further influence the regulatory landscape regarding data centers and energy policies in the state.

A final decision on the energy proposal is expected from the PSC in December, which will likely have a lasting impact on Atlanta’s energy landscape and its burgeoning data center industry.

Frequently Asked Questions

What are the main concerns regarding data center expansion in Metro Atlanta?

The main concerns include environmental degradation, potential increases in electricity and water rates, and the prioritization of data centers over residential water needs.

How many existing data centers are there in the Atlanta region?

There are about 100 existing data centers in the Atlanta area, with several dozen proposed locations.

What resources do large data centers consume compared to cities?

A large data center can use as much power and water as a small city.

What investments is Georgia Power making to attract data centers?

Georgia Power is heavily investing in infrastructure, with hundreds of millions in taxpayer incentives to entice data center developers.

What is the Public Service Commission’s role in this matter?

The Public Service Commission (PSC) of Georgia is evaluating a proposal to add 10 gigawatts to Georgia Power’s grid, with a significant portion designated for data centers.

What percentage of the proposed energy will serve data centers?

80% of the proposed energy from Georgia Power is expected to serve data centers.

When is a final decision on the energy proposal expected?

The final decision regarding the energy proposal is expected from the PSC in December.

Key Features of Data Center Expansion and Environmental Impact

Feature Details
Number of Existing Data Centers Approximately 100
Proposed Locations Several dozen
Energy Consumption Equivalent to a small city
Georgia Power Investment Hundreds of millions in taxpayer incentives
Proposed Energy Addition 10 gigawatts prioritized for data centers
Environmental Source 60% from natural gas
Final Decision Date Expected in December

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Additional Resources

STAFF HERE ATLANTA WRITER
Author: STAFF HERE ATLANTA WRITER

The ATLANTA STAFF WRITER represents the experienced team at HEREAtlanta.com, your go-to source for actionable local news and information in Atlanta, Fulton County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as vibrant music festivals like Shaky Knees and Music Midtown, major cultural celebrations including Dragon Con and the Atlanta Film Festival, and iconic sporting events like the Peachtree Road Race. Our coverage extends to key organizations like the Metro Atlanta Chamber of Commerce and the Atlanta Convention & Visitors Bureau, plus leading businesses in logistics, beverages, and retail that power the local economy such as Delta Air Lines, The Coca-Cola Company, and The Home Depot. As part of the broader HERE network, including HEREAugusta.com and HERESavannah.com, we provide comprehensive, credible insights into Georgia's dynamic landscape.

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