A dispute over a massive data center in South Carolina is turning into a broader debate over transparency, pollution, and who gets a say on infrastructure.
As FOX Carolina reports, residents in Spartanburg County have sued local officials and developer Valara Holdings LLC, arguing the nearly $3 billion project should never have been approved as a "minor" development.
What happened?
The South Carolina Environmental Law Center announced in a press release that it is representing Concerned Citizens of Spartanburg County in the case over the South Pine Street project, where construction is already underway.
The complaint centers on the county's decision to treat the data center as a minor land development, which the lawsuit says allowed the project to avoid the more extensive public review process.
Attorney Frank Holloman told FOX Carolina that a major-development designation would normally bring planning commission review, public notice, meetings, public comment, and a vote.
Public records cited by FOX Carolina show that Valara first filed plans to redevelop about 905,000 square feet of the former Kohler industrial plant, then later submitted another application covering nearly 494,000 square feet of additional buildings and major infrastructure.
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Holloman told FOX Carolina that he objected to the project being handled through two separate applications. He also pointed to a separate county permit for a much smaller recycling facility that still went through major-development review.
Holloman reacted: "Not a $3 billion data center? That's not major? How can that be?"
Why does it matter?
Neighbors say their concerns extend far beyond procedure. Nancy Garner, who lives near the site, relayed to FOX Carolina worries about local water quality.
"The top concern for me right now is the quality of water that we will experience if that data center goes through," Garner told the outlet. "I am scared to death. I'm going to lose my water or it's going to become contaminated."
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Holloman said residents are also worried about air pollution because the project includes plans for a utility-scale natural gas power plant, per FOX Carolina.
The case reflects a broader issue unfolding across the country as artificial intelligence expands and the infrastructure supporting it puts greater strain on the energy grid. AI can help utilities forecast electricity demand, improve battery storage, and make clean energy systems run more efficiently.
At the same time, data centers can consume massive amounts of electricity and water, potentially driving up utility costs, increasing pollution when fossil fuel plants are added, and creating security and societal risks if growth outpaces oversight.
Given all the impacts, it only feels right that the public should have a say in what moves into their backyard.
What's being done?
FOX Carolina reported that Spartanburg County declined to comment because the case is pending, and that Valara Holdings had not responded by the time of publication.
A hearing on the lawsuit is scheduled for July 30 in Columbia, the outlet reported.
In a separate effort, FOX Carolina reported that the South Carolina Environmental Law Center is asking the South Carolina Public Service Commission to review whether the Pine Street site is appropriate for the planned utility-scale natural gas power plant.
Holloman told the station that the county could still reverse course without waiting for a judge.
"I would like them to say we made a mistake," Holloman told FOX Carolina. "This never should have been treated as a minor development."
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