Arizona Attorney General Kris Mayes is pushing for a statewide freeze on new data center approvals and construction, arguing the state should address its growing demand for electricity and water before allowing more large-scale facilities to move forward.
Mayes’ proposal comes as data centers, particularly large facilities built to support artificial intelligence, face growing scrutiny in Arizona. She pointed to rising utility costs and pressure on the Colorado River, saying the state could be taking on additional demand before it has figured out how to manage the consequences.
The attorney general also tied the issue to utility rate cases involving Arizona Public Service and Tucson Electric Power. She has opposed proposed rate increases that are partly connected to infrastructure needed to serve data centers, raising a broader question about who ultimately pays for the rapid expansion of power-hungry computing facilities.
Mayes’ position reflects a shift in the debate from simply attracting technology investment to weighing its local costs. She is asking lawmakers and Hobbs to create statewide rules before approving additional projects and plans to bring the issue directly to residents at an Oct. 14 town hall in Ahwatukee, where a proposed Menlo Digital hyperscale facility has drawn community opposition.
