LANSING, MI (WOWO) A growing number of Michigan communities are pushing back against large-scale data center development, with at least 19 cities and townships passing or considering temporary bans on new projects.

Bridge Michigan reports that local officials say the moratoriums are meant to give communities time to set limits on where data centers can be built and how much noise, energy, water use, and land they can consume. Many proposals involve hundreds of acres and energy demands comparable to a small city.

Supporters of data centers argue the facilities bring long-term investment and tax revenue, while critics worry about farmland loss, environmental impacts, and higher utility costs for residents. The backlash follows the passage of state tax breaks in late 2024 that exempt qualifying data centers from sales and use taxes through at least 2050.

The resistance has reached the State Capitol, where bipartisan lawmakers have introduced bills to repeal the tax incentives and impose statewide standards on water and energy use. However, Governor Gretchen Whitmer and House Speaker Matt Hall have both said they oppose a statewide moratorium.

Some data center developers have already withdrawn proposals after local opposition slowed approvals. Industry groups say companies are likely to walk away from communities where resistance delays projects.

With Michigan set to elect a new governor later this year, data center development has emerged as a major campaign issue, leaving the future of the industry’s expansion in the state uncertain.