What Comes After a Data Center Moratorium?

Several Illinois communities, including Mattoon and Charleston, have put temporary holds on new data center projects while officials weigh concerns about water use, noise, and the cost of upgrading electrical infrastructure. A new study from the Illinois Economic Policy Institute looked at $57 billion in planned data center development across the state and projected over 120,000 jobs and nearly $300 million a year in added local property tax revenue, with much of that money going to schools. But the same study warns that without requirements for developers to pay for the power they need, the added electricity demand from data centers could push average household electric bills up by about $12 a month by 2035.

For homeowners, the electricity bill piece is the most direct stake here. The study points to steps that can reduce the strain on the grid and water supply, such as requiring developers to use dry-cooling or closed-loop systems that cut water consumption, and recovering the heat these facilities generate for other uses, like campus heating systems. None of this is final policy yet. These are considerations local governments can build into agreements before approving any project.

If a data center gets built near you, it will not change your home directly, but it could affect your electric bill and local tax revenue depending on what conditions, if any, your community negotiates before lifting its moratorium. Worth watching if you live in a county weighing one of these proposals.