Companion Research · ALEA Institute
Why Communities Fight Data Centers
This book is about how to fight. This working paper is about why the fights happen — and a framework for predicting how each one ends.
Draft Working Paper · July 2026
Circulated for comment. The empirical figures move quickly and should be reconfirmed before you rely on them.
In roughly two years, opposition to data center development has grown from scattered local complaints into an organized national movement — one that now blocks or delays tens of billions of dollars in projects every quarter. The common “NIMBY” label treats that opposition as irrational or merely selfish. This paper argues it is neither, and offers a framework for making sense of the grievances communities raise and predicting how each is likely to be resolved.
Two Structural Facts
The argument rests on two facts about how these projects get built:
- The benefits flow broadly while the costs concentrate locally. A data center serves a national company and a national ambition in AI; the noise, water draw, truck traffic, higher electric bills, and lost farmland are borne by the few thousand people who live nearby.
- The binding constraint is electric power, not community consent. Developers go where a utility can deliver the load on their timeline — which is why projects land on cheap rural land near high-voltage transmission, and why residents so often feel the decision was made upstream, before anyone asked them.
A Framework: Three Axes of Grievance
The paper sorts community grievances along three axes that together predict how a fight behaves:
- Remediability — whether a condition of approval could satisfy the grievance. Noise, wells, rates, and property values can be addressed through binding conditions and community-benefit agreements; irreversible land loss, a broken process, and opposition to AI itself cannot. This axis predicts the channel: remediable grievances end in negotiated terms, intrinsic ones in moratoria and referenda.
- Scale — whether the injured interest is a single parcel, a community, or society at large. Scale predicts who mobilizes, from a lone plaintiff to a networked national movement.
- Project phase — announcement, construction, operation, or enforcement. Grievances activate at different times, from the secrecy that dominates the announcement to the broken promises that only surface years later at enforcement.
What the Evidence Shows
- Opponents blocked or delayed roughly 75 projects worth about $130 billion in the first quarter of 2026 alone — the most on record — as active opposition groups more than doubled over the same period.
- Opposition is strikingly bipartisan: about 71% of Americans would oppose a data center built in their area — 75% of Democrats and 63% of Republicans.
- More than 200 local moratoria across 30 states now restrict data center development, concentrated in fast-growing Midwestern and Southeastern markets.
- The local economic case is weak where it lands: roughly $13 million in capital per permanent job, against about $137,000 elsewhere in the economy.
- The disputes residents actually win in court are procedural — challenges to how an approval happened, not to whether a data center is good — as in the defeat of Virginia’s Digital Gateway.
Why It Matters for Your Fight
The framework’s practical payoff is that it tells you which lever fits your grievance. It distinguishes what better rules can resolve — disclosure requirements, approvals tiered by size and load, separate utility rate classes, enforceable conditions — from what only a siting or moratorium decision can reach. If you know which kind of fight you’re in, you know where to spend your energy. That is exactly what the chapters of this book are built to help you do.
Read the Working Paper
The full paper, with figures, citations, and the complete framework, is published by the ALEA Institute.
From Understanding the Fight to Winning It
The paper explains why these fights happen. The book gives you the playbook for your own.