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Data centers demand a massive amount of energy. Here’s how some states are tackling the industry’s impact.

States that offer tax exemptions to support the industry are reconsidering their approach.

A Google data center in Douglas County, Georgia.

A Google data center in Douglas County, Georgia. (credit: Google)

This article was produced for ProPublica’s Local Reporting Network in partnership with The Seattle Times. Sign up for Dispatches to get stories like this one as soon as they are published.

When lawmakers in Washington set out to expand a lucrative tax break for the state’s data center industry in 2022, they included what some considered an essential provision: a study of the energy-hungry industry’s impact on the state’s electrical grid.

Gov. Jay Inslee vetoed that provision but let the tax break expansion go forward. As The Seattle Times and ProPublica recently reported, the industry has continued to grow and now threatens Washington’s effort to eliminate carbon emissions from electricity generation.

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