Montana Considers Moratorium on Data Centers Amid Energy Concerns
Montana is facing potential energy challenges due to proposed data centers, with one center projected to consume one gigawatt of power. Legislative action, including a moratorium, is being discussed to address these issues and protect state resources.
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Montana is currently evaluating a moratorium on data centers as negotiations with three groups interested in constructing data centers proceed, alongside interest from 11 additional companies. One data center alone is anticipated to require as much electricity as Northwestern Energy supplies to the entire state, raising concerns about the feasibility of meeting this demand with existing resources.
Historical context parallels this situation with the 1971 North Central Power Study, which recommended extensive coal plant development. If approved, these projects could increase energy demand by six times.
This raises questions about the financial burden on ratepayers, especially if data centers fail, similar to past trends in the cryptocurrency sector. Some states have already enacted moratoriums, highlighting the urgency of implementing protective measures for Montana's infrastructure and residents.
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