Resistance to Data Centres Spreading Globally
The wave of opposition to the construction of data centres is spreading globally, moving from the United States to Europe and Asia. This situation presents a new risk to the investment in artificial intelligence (AI) infrastructure currently being accelerated worldwide.
Approximately US$42 billion, or more than Rp752 trillion, in data centre investments in Europe has been affected by delays or cancellations due to public opposition. In the US, the value reaches around US$77 billion.
In Europe, more than 70 data centre projects were rejected or restricted between January and April 2026, even surpassing the total number seen throughout 2025. The opposition is driven by concerns over electricity and water consumption, energy prices, large land requirements, and the perceived lack of clear economic benefits and job creation.
Olivier Darmouni, an associate professor at HEC Paris, stated that this resistance could represent a critical turning point for the industry.
“This could be the ‘last straw that breaks the camel’s back’,” said Darmermouni, as reported by CNBC International on Monday (5/10/2026).
Several countries have begun to tighten regulations. Scotland has delayed approvals for hyperscale data centre developments, Denmark has placed data centre projects at the back of the queue for power grid access, while Spain has proposed a mandate to use 80% renewable energy.
Resistance to data centres has also emerged in South Korea. In the Geumcheon district of Seoul, residents have requested that the construction of data centres near residential areas be halted. The local government even plans to mandate approval from the majority of residents within a 200-metre radius of project sites.
This occurs despite the South Korean government designating AI data centres as one of its primary investment projects to support the development of AI and the semiconductor industry.
For investors, these issues increase the risks of cost escalations and delays. Asya Walters, managing director at Alvarez & Marsal, noted that the ability of the public to thwart data centre projects worth US$10 billion represents a very significant risk.
The tug-of-war between policies encouraging data centre development and increasingly stringent regulations in several countries is seen as a potential obstacle to investment.
Dominic Ward, CEO of Verne, stated that the industry can no longer operate without public scrutiny.
“Previously, we were completely unknown as part of the economy. We were just a black box. Now, we have become one of the fundamental layers driving the economy,” Ward told CNBC.