Local opposition blocked $68 billion in U.S. data center projects in Q2 2026, report says

Protesters point to the environmental impact of AI‑focused data centers, which the report says could consume up to 600 billion gallons of water by 2030 and 20% of U.S. electricity by 2035. Hyperscalers counter that concerns are overstated; OpenAI CEO Sam Altman says 38,000 ChatGPT queries use as much water as one almond, while Microsoft claims its new architecture uses as little water as a restaurant. The article also mentions specific incidents, such as a Virginia AI data center that raised resident electricity bills by 76% and a secret water‑use case of 29 million gallons in a single year.

Despite the pushback, hyperscalers have spent over $1 trillion on data infrastructure since 2023 and expect $745 billion of capex in 2026 alone. Companies like Meta are signing large power‑supply deals – Meta’s agreement with Entergy Louisiana provides 7 GW for its Hyperion facility, which Entergy says will save other customers $20 billion over 20 years. The article notes that many of these new sites rely on on‑site gas plants, raising further environmental concerns.