New Hampshire is increasingly being viewed as an attractive location for large-scale data centers, the massive, warehouse-like buildings that store and process digital information for everything from streaming services to artificial intelligence. While data centers are often marketed as engines of economic growth, the reality is much more complicated. If we do not proceed with extreme caution, data centers could become a long-term environmental, financial and infrastructure burden on our state.
First, we must consider the environmental impact. Data centers are not benign buildings. They require enormous amounts of land, often built on forests, wetlands or former agricultural land that serves critical ecological functions. Clearing land for these facilities destroys habitat, contributes to runoff and erosion, and reduces the natural landscapes that are part of New Hampshire’s identity and economy. Tourism, outdoor recreation and our quality of life depend on preserving our natural environment. Once the environment is impacted, it is rarely restored.
We must consider the impact of constant industrial noise from these data centers which extends far beyond human neighborhoods. Wildlife are especially vulnerable to continuous low-frequency sound from cooling systems and generators. Birds rely on sound to communicate, find mates, warn of predators, and navigate migration routes. Chronic noise disrupts these patterns, driving species away from their natural habitats or causing population declines. Mammals, including deer and smaller woodland animals, may abandon feeding or nesting areas due to stress and disorientation.
For humans, the effects go beyond annoyance. Studies have shown that prolonged exposure to low-level industrial noise can contribute to sleep disruption, increased stress, elevated blood pressure and decreased cognitive functioning. What may be marketed as a “minor” hum can, over time, erode both environmental balance and human well-being.
Water consumption is another major concern. Many data centers rely on millions of gallons of water annually for cooling. At a time when we are seeing more drought conditions, warmer summers and stressed aquifers, diverting significant local water supplies to a single industrial user is risky and shortsighted. Rural communities and small towns, in particular, may not have the capacity to support this level of use without depleting wells, threatening drinking water, and harming ecosystems.
Then there is the issue of energy consumption. Data centers are energy hogs, requiring staggering amounts of electricity. In many cases, a single data center can use as much power as a small town. New Hampshire already faces challenges with energy supply and high electricity rates. Adding multiple high-demand facilities to the grid will only increase pressure on our system. This can lead to higher utility costs for everyday residents and small businesses — effectively forcing Granite Staters to subsidize the operations of massive, often out-of-state tech corporations.
Infrastructure costs represent another hidden price tag. Towns are often promised new tax revenue, but that revenue rarely covers the real long-term expenses. Roads must be expanded and reinforced to handle heavy construction traffic. Power lines and substations must be upgraded. Emergency services must be expanded to account for new risks of electrical fires and industrial accidents. These costs frequently fall on local taxpayers and ratepayers, not on the companies that caused the need for upgrades in the first place.
Perhaps most troubling is the limited return on investment for local communities. Data centers simply do not create many permanent jobs. Once built, they operate with minimal staff. A town could give up large amounts of land, water, peace and quiet, and still see very little in terms of sustainable employment opportunities for residents.
None of this is to say that New Hampshire should ban data centers outright. Technology is part of our modern economy and will not disappear. But it does mean that we must approach these projects with great care, strong regulations, and full transparency. Communities should demand clear impact studies, enforce strict environmental and water protections, require companies to fully pay for infrastructure upgrades and renewable energy, and ensure utility costs are not passed onto residents. We also need companies building these data centers to invest in jobs, small businesses and start ups in communities.
New Hampshire’s greatest assets are its clean water, pristine landscapes, tight-knit communities and independence. No short-term promise of tax revenue is worth sacrificing those values for decades to come. If data centers want to call New Hampshire home, they must prove, clearly and convincingly, that they will not damage the very resources that make this state worth living in.
Proceeding carefully is not anti-progress. It is simply pro-New Hampshire.
Rep. Wendy Thomas represents Merrimack and is sits on the Science, Technology and Energy committee which hears all the bills on energy, utilities and data centers.
Rep. Ro Khanna represents Silicon Valley in California.