Datacenter operators must win hearts and minds, not just permits

As the datacenter industry continues to expand, operators must shift their focus from merely securing permits to building trust with local communities. Schneider Electric, a leading supplier of electrical infrastructure and equipment for datacenters, warns that operators must become more transparent about the resources their projects will consume, including power, water, and land.

Steven Carlini, Schneider's vice president of innovation and datacenter, explains that while the company sees no slowdown in its business, the industry is facing challenges, particularly in Europe, where planning bureaucracy and opposition from residents have slowed construction. In the US, however, companies are building as quickly as they can, but Carlini emphasizes the need for greater transparency.

He notes that the traditional approach of operators negotiating permits without public visibility has led to opposition, with campaigns calling for moratoriums and New York state imposing a halt. To win over residents, operators must disclose details about their projects, such as power sources, water usage, carbon emissions, and noise levels.

This transparency is expected to become a requirement under new permitting rules, followed by ongoing reporting obligations. Carlini emphasizes that operators must also engage with local residents on a public relations level, acknowledging their concerns and explaining the benefits, such as tax breaks or lower costs. For AI facilities, he expects a greater focus on efficiency metrics beyond power consumption, such as tokens per watt or per dollar.

Ultimately, datacenter operators must win the "hearts and minds" of the communities in which they operate to ensure the continued growth and acceptance of their projects.