Rural Residents Worry Data Centers Could Raise Costs

A new survey found rural respondents were most concerned about electricity costs, water use and the loss of farmland.

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URBANA, IL (RFD News) — Rural residents are showing concern about data center growth as artificial intelligence drives new demand for electricity, water, and farmland.

University of Illinois farmdoc researchers say data centers provide the physical infrastructure behind artificial intelligence, cloud computing, and digital services. Many large facilities require significant electrical capacity, water for cooling, and hundreds of acres of developable land.

The Gardner Food and Agricultural Policy Survey asked U.S. consumers about possible effects from data centers and artificial intelligence. Concerns were above the midpoint for electricity costs, water overuse, and the use of agricultural land for development.

Rural respondents were more concerned than urban and suburban residents about electricity costs and farmland use. More than half of rural respondents were considered very worried about data centers affecting electricity costs.

Researchers say rural leaders must weigh tax revenue and economic development against infrastructure needs, utility costs, water demand, zoning, and long-term land-use tradeoffs.

Farm-Level Takeaway: Rural communities should ask detailed questions about power, water, tax incentives, jobs, and farmland impacts before approving data center projects.
Tony St. James, RFD News Markets Specialist

Tony St. James joined the RFD-TV talent team in August 2024, bringing a wealth of experience and a fresh perspective to RFD-TV and Rural Radio Channel 147 Sirius XM. In addition to his role as Market Specialist (collaborating with Scott “The Cow Guy” Shellady to provide radio and TV audiences with the latest updates on ag commodity markets), he hosts “Rural America Live” and serves as talent for trade shows.

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