Last week, the Arizona Corporation Commission approved a controversial proposal.
It allows Tucson Electric Power to power a local data center called “Project Blue.” The utility would provide 300 megawatts to the data center, which is reportedly enough energy to power 45,000 Arizona homes.
The commission approved this 4-1 after hearing two hours of public comment.
Amazon was originally tied to the project, but it ended up pulling out. Right now, Beale Infrastructure, the company building the data center, doesn’t have a customer lined up for it.
BACKGROUND: Arizona Corporation Commission greenlights Tucson data center energy agreement
Residents and activists have expressed concerns about the data center being a strain on local water and energy, and about potential negative health and environmental effects.
We asked our newsletter readers for their thoughts on the investigation. Nearly every reply expressed concerns over data centers and the resources they require. Here are some of the responses:
💬 “Need more info to make a sound decision. Many people can be progress stoppers.” — Randy O.
💬 “I have understood that the cries of anguish from New Jersey voters in their most recent election were generated by the far higher electric rates they were experiencing because of data centers constructed and operating there. We’ll all be paying for the electrical needs of AI while only the mega investors will be making money from them.” — Alice O.
💬 “I disagree with it for the reasons stated in your article. It’s a drain on water, electricity, & danger to the environment by pollution & displacement of desert habitat. I’ve watched documentaries detailing the damage these data centers do to the towns and environments around them. No thanks.” — Wendy W.
💬 “No data centers in AZ! It’s completely irresponsible for our leaders to consider and allow this level of usage when our area/state is constantly in dought and energy crisis.” — Deborah M.
💬 “Seriously, don’t the every day people of AZ have enough trouble sourcing water to drink and affording electricity for air conditioning??? Give us a break, not another tech company. ” — Sharon B.
💬 “Data centers are bad news. We shouldn’t be allowing them in Arizona. This idea that AI will bring us a better future is a lie.” — Mark C.
💬 “Should not be built if there isn’t a valid buyer.” — Petra A.
💬 “So I have been conserving water over the last 30 years—so this is the reward I get? Very bad for everyone except those making $$ on our backs.” — Kurt T.
💬 “Tucson doesn’t have the power or resources to support another wasteful data center project.” – Mark V.
💬 “This should be stopped. Citizens don’t want it big time. Too much water and too much electricity. We are not a safe haven for industry wanting both. We are facing major water issues and the Arizona State government keeps pressing ahead seemingly with consideration of people who will be left without water.” — Roger M.
💬 “I’ve been reading in a variety of Substacks, blogs, etc. that take various POVs and all describe these data centers as drains on water, energy, real estate, and more and as contributing to a few very wealthy individuals, all the while overseen by ancient congresspeople who have no idea what they are dealing with.” — Pat B.
💬 “AI is great for scientific research unfortunately its primary use is the manipulation of humans… that’s where the money is made. Utilities should be required to offset data center electric use by providing rooftop solar rather than building nat gas plants or expanding/continuing coal plants. We are past the tipping point but we can still delay the worst of it if we act aggressively now. Billions will starve to death and they won’t go quietly. Climate change will end civil society before AI. And AI’s need for massive amounts of energy will speed up climate change. Glad I’m old.” — Garth E.














