Local
Indiana data-center limits spread to at least 50 counties
At least 50 Indiana counties have adopted data-center bans, temporary pauses or zoning rules, according to an Indiana University tracker. The measures reflect local concerns over the facilities’ demands for electricity, water and land as state incentives attract major technology companies.
At least 50 Indiana counties have adopted policies restricting data-center development, a sharp increase from roughly 30 communities in July, according to data compiled by Indiana University’s Environmental Resilience Institute.
The policies vary: 32 counties have approved moratoriums, 14 have adopted regulatory ordinances and four communities do not permit data centers, the institute’s tally shows. Marshall County has made its ban permanent. Starke County approved a ban Oct. 19, while Steuben County adopted a six-month policy on Sept. 15.
The spread of local restrictions comes as Indiana pursues large data-center projects with tax incentives and other inducements. Data centers house servers used for cloud computing, streaming and artificial intelligence. Their continuous operation can require substantial electricity and water, and residents in Indiana and elsewhere have also raised concerns about land use, noise, air pollution and whether promised economic benefits will reach local communities.
“What we’re seeing that’s new but not really surprising since July is an increased number of moratoria, and also several of those moratoria becoming permanent decisions,” said Therese Dorau, assistant director for climate policy and implementation at the institute.
Dorau said temporary pauses can give local governments time to study the facilities and develop policies suited to their communities. “A responsible use of a moratorium is to take a pause,” she said, describing it as a chance for more in-depth research rather than necessarily a permanent decision.
The pauses differ in length and purpose. Marion County’s moratorium, approved in August, runs through the end of 2027 and created a committee to study data centers and propose zoning rules. Three projects previously approved there are exempt. DeKalb County’s six-month moratorium expired earlier this month.
Meanwhile, major projects are moving toward the power grid. Earlier in October, the Indiana Utility Regulatory Commission approved a $737.3 million AES Indiana plan to serve a 390-megawatt Google data center project in Monrovia. The companies said Google would cover all costs, but opponents have questioned whether customers could ultimately bear $74 million in transmission upgrades.
The county actions show how communities are weighing the potential investment against demands on local infrastructure and resources, even as state policy encourages development.