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Reno's Data Center Boom Sparks Controversy Over Water, Costs

Reno's data center boom could bring jobs and tax revenue, but opponents worry about water usage in drought-prone Nevada. The city council's vote this week will shape Reno's future as a tech hub.

In this image we can see a few buildings, there are some poles, lights and windows, at the top of...
In this image we can see a few buildings, there are some poles, lights and windows, at the top of the building it looks like a water tank.

Reno's Data Center Boom Sparks Controversy Over Water, Costs

Reno, the 'Biggest Little City in the World', is on the brink of a data center boom, with at least three projects approved since 2024. However, the expansion has sparked controversy, with opponents raising concerns about potential water shortages and increased electricity costs. The city council recently approved a zoning change for a data center in Schöneck, but residents remain worried about the development and their involvement in decision-making.

Data centers, crucial for cloud computing and tech giants, consume vast amounts of energy and water. Nevada, the driest U.S. state, is no stranger to droughts, making water usage a pressing concern. Olivia Tanager, director of the Toiyabe Chapter of the Sierra Club, opposes the revised proposal due to water usage fears. Reno Vice Mayor Kathleen Taylor, however, supports data centers for the potential job creation and tax revenue they bring.

The original Schöneck project envisioned a cozy community of 5,000 homes. The revised plan, set for a vote this week, proposes a significant expansion: 12 million square feet for industrial and commercial use, including data centers, and 1,350 housing units. If approved, Reno will become a major player in the national data center construction boom, with two-thirds of new data centers being built in water-stressed regions like Nevada.

Reno's future as a data center hub hangs in the balance, with a vote this week that could significantly expand industrial use. While the potential economic benefits are enticing, opponents' concerns about water usage and electricity costs remain valid in drought-prone Nevada. The city must weigh these factors carefully to ensure sustainable growth.

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