There’s a debate taking place across the country and in Central Florida over data centers. Communities are debating the scale of these facilities, the costs, and the potential payoffs.
What are AI data centers?
When people use tech like smart phones, laptops, or iPads to search for something on the internet, that device sends the request to computers and servers that have the information and serve it up to the user. Those servers have to be kept somewhere. Some businesses and people may store that information in house, while others use actual physical structures called data centers.
According to University of Central Florida Professor of Electrical and Computer Engineering Issa Batarseh, the surge in demand for data center infrastructure is the result of the amount of public interest.
“The major shift happened because of artificial intelligence in terms of the amount of power needed to keep all the machines running to be able to answer all the questions that come through AI,” he said.
Across the country, people living near hyperscale AI data centers have raised concerns about the impact to their communities. Some complain about the constant humming noise of industrial fans radiating from the facility into their homes.
Orange County is on track to join a growing list of Florida municipalities passing moratoriums to stop AI data centers from being developed, at least temporarily, in their communities. District 5 Commissioner Kelly Semrad called for a discussion about hyperscale data centers after receiving hundreds of emails requesting a moratorium on the development of the facilities before the county receives any applications to do so.
“We're pushing pause until we can actually get a zoning that recognizes AI data centers, we get regulations to ensure that they're not harmful, and we allow for public input to determine if they even want to live next to an AI data center,” said Orange County Commissioner Semrad.
In an email to Central Florida Public Media, the Data Center Coalition, an association that represents the data center industry, referred to data centers as essential digital infrastructure behind every online purchase, telehealth appointment, and digital classroom. They added that instead of enacting moratoriums that discourage investment, communities should work with the industry and other stakeholders on rules that address community concerns without deterring development. According to the coalition, in Florida, data centers supported more than 308,500 jobs and contributed $3.5 billion in tax revenue in 2024.
Who pays the power bill?
A law took effect in Florida in July that regulates large-scale AI data centers to stop them from shifting costs to customers. It also ensures local governments have authority over data center projects.
Electricity use is one of the biggest questions surrounding the growth of AI data centers. In Florida, providers and regulators are considering what happens when one of the facilities requires a huge amount of power and who should pay for it. Across the country, there’s growing concern that the true financial cost of data centers to people isn’t being shared.
Emily Mahoney, Energy Reporter at the Tampa Bay Times, is following a case involving Duke Energy that is before the Florida Public Service Commission, the board that regulates electric utility providers. The power company says customers will be protected. Critics and regulators are examining whether Duke’s proposal actually does.
“The development of data centers is always a very secretive process, as Floridians well know at this point. There's often NDAs being signed, including even by government officials,” said Mahoney.
According to Duke Energy, large customers like data centers contribute more in revenue than it costs to serve them, and the growth supports long term energy grid improvements for everyone.
