This coverage is made possible through a partnership between BPR and Grist, a nonprofit environmental media organization.
As small towns across North Carolina grapple with the environmental impact of data centers and cryptocurrency mining, Canton is considering joining the growing list of municipalities enacting bans. The town board recently passed a resolution to hold a public hearing on February 11, exploring the potential ban, following interest from companies about repurposing the town’s old paper mill site closed in 2023.
The surge in data centers has caused a range of issues across the United States, including well-water contamination in Georgia, water shortages in Utah and Alaska, rising energy bills in Baltimore, as well as air pollution complaints in Memphis. This has led other towns in North Carolina and the Appalachian region to reconsider their stance on such facilities.
Canton Mayor Smathers revealed that the town’s deliberation is driven by multiple inquiries from tech companies about the mill site, a source of significant tax revenue loss after its closure. Despite the potential financial benefits, Smathers is concerned about the environmental effects. “Our job is to try to find ways to say ‘yes’ and bring businesses in. But we cannot and will not sacrifice our water and natural resources for the almighty dollar,” Smathers stated. “Can there be a balance? Yes. But, this is not all about the money. This is about the people and being authentic to what Canton, what Haywood County is.”
Data centers, essential for storing and processing vast amounts of information, have expanded significantly due to the increasing reliance on cloud computing and AI technologies. Both data centers and cryptocurrency mines demand considerable energy and water resources, posing a potential threat to local ecosystems.
Neighboring counties such as Clay, Haywood, Cherokee, Jackson, and Macon are also evaluating measures to limit the establishment of these high-impact industries. In 2023, Haywood County enacted an ordinance that restricts water, land, and energy usage for new industrial facilities. While outright bans are not possible due to the lack of zoning laws, the county has implemented regulations that require permitting for activities exceeding certain thresholds.
Waynesville, another town in Haywood County, took a different approach by amending its land use policies to include a specific category for cryptocurrency mines and data centers, without imposing a moratorium. Elizabeth Teague, Waynesville’s Development Services Director, initially focused on noise concerns but later emphasized broader environmental issues. “Everyone who lives here is extremely protective of their land, and the mountains, and the creeks, and the rivers, and the environment,” Teague remarked. “The people that are wanting to place these centers here may think it’s out of the way, but it’s not to the people who live here.”
