Compass Datacenters CEO on data center moratoria: Don't ban them, raise the bar for developers
The short version: A data-center CEO tells CNBC that towns should quietly rewrite the rules instead of banning projects outright — which conveniently keeps the buildout coming.
Our Take
Credit to CNBC's Power Lunch for getting Compass Datacenters CEO Chris Crosby on air to respond to the wave of local moratoria popping up from Virginia to Georgia. His pitch — don't ban data centers, just 'raise the bar' for developers — sounds reasonable until you ask who writes the bar and who grades the test. In practice, 'raising standards' usually means a developer-drafted term sheet, a closed-door PILOT agreement, and a planning commission with three weeks to evaluate a project that will draw as much power as a small city.
Moratoria aren't popping up because towns hate servers. They're popping up because residents are watching substations get built next to subdivisions, water tables get tapped for cooling, and electricity rates climb while the tax breaks flow the other way. A pause is often the only leverage a county has before the concrete trucks arrive and the contract is already signed. Crosby's framing treats that leverage as an obstacle to smooth out, not a signal that the current approval process is broken.
We'd rather see communities get real information before they vote on anything — megawatts requested, water source, tax abatement length, who's on the hook if the project stalls. Check our facility map to see what's already been approved near you, and if your county is weighing one of these deals, our take-action page has the questions to bring to the next hearing.
This is GridWatch the USA’s original commentary. The video above is the work of CNBC Television, published on YouTube — full credit to the creator.