San Francisco imposes temporary ban on new data centers

Investing.com -- San Francisco's Board of Supervisors voted Tuesday to implement a 45-day moratorium on new data center construction within city limits, marking the latest municipality to restrict such facilities amid growing concerns about their environmental impact.

The unanimous decision took effect immediately and can be extended for approximately two years while officials develop potential permanent restrictions. The city, which hosts major artificial intelligence companies including OpenAI and Anthropic PBC, does not maintain a complete count of its existing data centers.

Supervisor Connie Chan, who is currently campaigning to succeed Nancy Pelosi in Congress, co-sponsored the measure. The ordinance specifically references a planned development in the Bayview-Hunters Point neighborhood, an area that already contains multiple data center facilities.

According to the sponsors, Bayview-Hunters Point faces existing challenges related to air pollution and environmental justice issues. The moratorium addresses concerns about water usage, electricity costs, and environmental effects associated with data center operations.

San Francisco joins other U.S. locations, including parts of New York state, that have moved to limit data center development. The facilities serve as infrastructure supporting the expanding artificial intelligence industry.

Original Article

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