The Infinite Unknown

Overview

Ohio, particularly the New Albany area in Licking County (Central Ohio / Columbus region), has experienced explosive growth in hyperscale datacenter development since 2010. As of April 2026, more than 14 datacenter companies have developed or are developing over 68 datacenters in the New Albany area, with approximately 40 already operational. The region is emerging as one of the largest datacenter hubs in the United States.

However, rapid growth has triggered significant community opposition centered on environmental impacts (water consumption, air quality), energy/grid reliability concerns, and complaints about tax abatements and lack of transparency in deal negotiations. The opposition has resulted in zoning actions at the township level and growing demands for state-level oversight.

New Albany: The Epicenter

Historical Development (2010–2026)

New Albany, an unincorporated area in central Licking County (part of greater Columbus metro), began attracting datacenters in 2010 with the first facility. The presence of:

• Available land
• Tax incentives (state and local)
• Proximity to Columbus fiber and networks
• Relatively lower costs than coastal tech hubs

…made New Albany attractive. By 2026, the area had become one of the largest datacenter concentrations in the United States.

Current Footprint

• 14+ companies operating or constructing facilities
• 68+ datacenters total
• 40+ already operational as of April 2026
• 206,000 sq ft Edged Columbus facility under construction as a recent example
• Vantage Data Centers and other major operators have large campuses

Economic Importance

Datacenters are major property tax payers in the New Albany area, though tax abatements reduce the contribution. The facilities have attracted contractor jobs and supplier businesses. However, permanent operations jobs are relatively few and often filled by specialists from outside Ohio.

Environmental Concerns

Water Consumption

Individual hyperscale datacenters can consume millions of gallons of water per day for cooling purposes. Specific consumption figures for New Albany facilities are not universally disclosed, but the aggregate impact on local water supply is a growing concern.

Cumulative Risk: As more facilities come online, water stress could emerge if facility expansion outpaces water infrastructure upgrades.

Air Quality and Emissions

Datacenters require power generation. Facilities increasingly operate onsite gas turbines for redundancy and resilience. Concerns include:

• Diesel and natural gas emissions from backup generators and power equipment
• Air permit requirements: Facilities must obtain air permits; some opponents challenge permit adequacy
• Health impacts: Communities worry about air pollution effects on asthma rates, respiratory health

Energy Grid Impact

Datacenters demand enormous electrical loads. New Albany’s concentration of facilities is expected to more than double the state’s datacenter energy consumption from 5.3% to 10.9% within four years, raising concerns about:

• Grid reliability: Can Ohio’s grid support 68+ hyperscale facilities?
• Renewable energy conflict: Ohio wants to meet clean energy targets, but datacenters are fossil fuel-intensive (relying on gas turbines and grid power from mixed sources)
• Rate impacts: Will average Ohioans’ electricity rates rise to pay for grid upgrades serving datacenters?

St. Albans Township Zoning Ban (Licking County)

Background

St. Albans Township, in the western part of Licking County (adjacent to New Albany), saw proposed datacenters as threats to the township’s rural character and environmental quality.

Zoning Action (2024–2025)

St. Albans Township Board voted to ban datacenters by removing “data processing services” from the list of allowed land uses in the township zoning ordinance.

Effect: New datacenters cannot be built in St. Albans Township; existing facilities are grandfathered or must cease operations if they relocate.

Rationale: Residents and township officials wanted to preserve rural character, agricultural use, and prevent the kind of concentrated industrial development seen in New Albany.

Significance: St. Albans demonstrates that local zoning action can block datacenter development, even in regions favorable to such facilities. It also shows the limits of municipal control: only St. Albans banned them; surrounding areas continue to approve projects.

Tax Abatement and Transparency Concerns

Tax Breaks in Ohio

Ohio offers various tax incentives for datacenters, including:

• Property tax abatements (vary by county/municipality)
• Targeted job creation credits
• Sales tax exemptions on equipment (state level)

Reported Costs

A Good Jobs First report found that Ohio datacenters have claimed at least $2.5 billion in tax breaks since 2017 (equivalent figures cited nationally). The actual benefit to job creation is disputed.

Transparency Problem

Major issues:

• Nondisclosure agreements: Deals between cities/counties and datacenter companies often include NDAs, preventing public access to terms, tax break amounts, job commitments
• Late disclosure: Details sometimes emerge only late in approval process or not at all
• Lack of accountability: No mechanism to enforce job promises or recover abatements if facility fails to meet targets

Opposition Demands

Community groups call for:

1. Mandatory disclosure of all datacenter deal terms, tax amounts, and job commitments
2. Clawback provisions: If job targets are missed, company must repay abatements
3. Community benefit agreements: Facilities should fund local infrastructure, schools, services
4. Public hearings: Current secrecy prevents informed public input

Community Opposition Dynamics

Petition and Legislative Pressure

Activists gathered signatures on a petition calling for a ban on “supersized” datacenters. The petition, signed by Ohio citizens, was publicized in March 2026, bringing visibility to local concerns.

Town Hall and Public Meeting Activity

Public opposition has intensified, with:

• City commissions and county boards inundated with citizen testimony
• Some meetings requiring larger venues to accommodate turnout
• Residents raising concerns about noise, power demands, pollution, water, environmental degradation, and secrecy in deal negotiations

Coordination with Statewide Advocacy

Ohio’s local opposition is beginning to coordinate with national advocacy groups (Sierra Club, Good Jobs First, Public Citizen), providing support and technical expertise.

State-Level Policy Discussions

Ohio Utility Commission

The Public Utilities Commission of Ohio (PUCO) regulates utility rates and grid infrastructure. Ongoing discussions include:

• Cost allocation: Who pays for transmission upgrades needed to serve datacenters?
• Rate design: Should datacenters pay different rates than regular customers?
• Grid reliability: Can utilities integrate 68+ hyperscale loads while maintaining reliability?

Legislative Activity

As of April 2026, Ohio has not enacted state-level datacenter moratorium or comprehensive regulation (unlike Maine, New York, Illinois). However, legislative interest is growing.

Proposals under consideration:

• Moratorium bill (uncertain status)
• Tax abatement reform requiring disclosure and clawbacks
• Environmental impact assessment requirements

Columbus Region Data Center Hub Status

Competitive Position

Columbus is positioned to become the second-largest datacenter hub in the Great Lakes region (after Chicago). The New Albany concentration, combined with Columbus’s fiber access and growing tech ecosystem, makes the region attractive for further development.

However, opposition and regulatory uncertainty may slow growth relative to competing regions.

Contested Projects and Status

Organizing and Opposition Groups

Local Environmental and Community Groups

• Signal Ohio: Tracks environmental and energy impacts; published reports on datacenter effects on Ohio’s energy sector
• Local neighborhood associations: St. Albans Township residents organized to support zoning ban
• County commissioners: Some supervisors are skeptical of datacenter deals without transparency

Statewide and National Allies

• Sierra Club Ohio: Environmental advocacy on air quality, water, energy
• Good Jobs First: Subsidy transparency and reform advocacy
• Public Citizen: Grid reliability and utility rate intervention
• Citizens across Ohio: Grassroots petition and public comment at hearings

Key Incidents and Milestones

Political and Economic Context

Development Pressure vs. Community Concerns

New Albany datacenters represent a tension between:

• Economic development: Jobs, tax revenue (before abatements), infrastructure investment
• Environmental and quality-of-life concerns: Water, air, noise, rural character preservation, tax fairness

Regional Competitiveness

Ohio is competing with other Midwest states (Illinois, Indiana, Michigan) and coastal hubs (Virginia, New Jersey) for datacenter development. Tax abatements and business-friendly permitting are tools to attract facilities. However, if opposition becomes severe, Ohio could lose competitiveness if other states offer more permissive environments.

Lack of Statewide Framework

Like Iowa, Ohio has not enacted comprehensive state-level datacenter regulation. This leaves local governments and utilities to manage impacts individually, creating inconsistent standards and allowing companies to exploit jurisdictional gaps.

Key Takeaways

1. Rapid growth is triggering organized opposition: New Albany’s 68 facilities represent exponential expansion; opposition is nascent but growing.

2. Environmental concerns are diverse: Water, air quality, energy grid strain, and renewable energy conflicts all feature in opposition messaging.

3. Tax transparency is a major demand: Citizens and watchdogs want public disclosure of abatement amounts, job commitments, and deal terms.

4. Local zoning action can succeed: St. Albans Township ban demonstrates that municipalities can block datacenters if they choose.

5. Statewide regulation may follow: If opposition momentum builds, Ohio legislature may follow Maine, New York, Illinois in imposing moratorium or restrictions.

6. Grid reliability concerns are rising: Energy consumption projections (5.3% → 10.9% of state load) are raising utility commission and legislative attention.

Sources

• Ohio’s data center boom is running into political resistance - Signal Ohio
• Data centers’ impact on Ohio’s environment - Spectrum News 1
• Ohio citizens petition to ban supersized datacenters - The Register
• Data centers get huge tax breaks while straining utilities - Signal Ohio
• Data Centers Are Booming In Ohio’s Digital Heartland - Data Center Frontier
• Columbus will become second-largest data center hub in the Great Lakes region - WOSU Public Media
• Vantage New Albany Campus - Vantage Data Centers