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Data Centers Explained

Understand the technology.
Ask the hard questions.

Clear, source-backed information for workers, residents, public officials, landowners, and anyone evaluating data-center development in Texas—including people who are skeptical of it.

How it works

A data center turns electricity into digital work—and heat.

The facility is a connected industrial system. Two projects called “data centers” can have very different power, water, noise, construction, and community impacts.

01Grid or onsite power02Electrical conversion03Computing equipment04Heat removal
01

Compute

Servers, storage, and AI accelerators perform the digital work. Higher-density equipment can concentrate far more power and heat into each rack.

02

Power

Utility service moves through substations, transformers, switchgear, UPS systems, and distribution equipment before electricity reaches the racks.

03

Cooling

Air, chilled-water, evaporative, rear-door, direct-to-chip, and immersion systems move heat from equipment to the outside environment.

04

Connectivity

Fiber routes, switches, and high-speed networks connect the building to users, cloud regions, carriers, and other facilities.

05

Resilience

Batteries, generators, redundant equipment, fire protection, security, and continuous monitoring keep critical services available.

06

Campus

Land, roads, drainage, water, wastewater, transmission, construction logistics, housing, and workforce connect the facility to its community.

Current context · August 2026

The scale is changing. The questions have to become more specific.

These are national or system-level reference points, not predictions for every Texas project. Local impacts depend on the facility’s actual design, agreements, location, and operating plan.

PATH 01

Technology & Innovation

Cooling, power, automation, modular delivery, construction robotics, and COH 3D Construction.

Explore the systems →
PATH 02

Community Questions

Power, water, air, noise, traffic, jobs, incentives, and end-of-life responsibility.

Review the concerns ↓

Concerns, tradeoffs & fixes

Some fears are incomplete. Others identify real risk.

The responsible response is not automatic support or opposition. It is project-specific disclosure, better design, independent review, and enforceable commitments.

01

Will it strain the power grid or affect household rates?

A large campus can request extraordinary electrical capacity. The schedule, interconnection design, new infrastructure, rate class, and ability to reduce load during grid stress all matter.

RESPONSIBLE RESPONSE

Require a transparent interconnection plan, dedicated upgrades where appropriate, phased energization, fair cost allocation, flexible-load capability, and public explanation of who pays.

ASK FOR THE RECORD

What is the requested peak load, when will each phase energize, what new equipment is required, and which customers bear each cost?

02

How much water will it use during drought?

Water demand varies widely by cooling system, climate, workload, operating temperature, and whether the project uses potable, reclaimed, or other water. A single industry average cannot answer a local question.

RESPONSIBLE RESPONSE

Set a site-specific annual and peak-day water budget; disclose WUE; compare dry, hybrid, closed-loop, and reclaimed-water options; and adopt an enforceable drought plan.

ASK FOR THE RECORD

What are average-day and peak-summer use, the water source, WUE, blowdown volume, drought stages, and the cooling mode used during each stage?

03

What about diesel exhaust and local air quality?

Emergency engines and onsite generation can emit pollutants. The number, fuel, size, operating purpose, testing schedule, and applicable authorization determine the local risk.

RESPONSIBLE RESPONSE

Publish the complete equipment list and air authorization; use cleaner equipment and controls; limit and coordinate testing; track run hours; and report non-emergency operation.

ASK FOR THE RECORD

How many engines are proposed, what permits or rules apply, how many hours may they run, and where are the nearest homes, schools, and clinics?

04

Will neighbors hear it day and night?

Cooling equipment, transformers, rooftop systems, truck activity, and generator testing can create tonal or low-frequency noise that a simple daytime reading may miss.

RESPONSIBLE RESPONSE

Complete preconstruction sound modeling; use setbacks, acoustic walls, quieter equipment, and enclosures; limit testing hours; and establish an enforceable property-line standard.

ASK FOR THE RECORD

What are predicted nighttime levels by frequency, where were receptors modeled, what is the testing schedule, and who investigates complaints?

05

How will construction, land use, and traffic affect the area?

A multi-building campus can change drainage, road demand, views, lighting, emergency access, and nearby land use long before operations begin.

RESPONSIBLE RESPONSE

Require traffic and drainage studies, construction routing and hours, dark-sky lighting, screened equipment, setbacks, road-repair terms, and funded emergency-response planning.

ASK FOR THE RECORD

Which roads carry workers and equipment, who funds upgrades and repairs, how is runoff managed, and what buffers protect adjacent property?

06

Are the job numbers being overstated?

Construction, supplier, induced, and permanent onsite jobs are different categories. Announcements can sound larger than the long-term local payroll if those categories are combined.

RESPONSIBLE RESPONSE

Publish each category separately with timing and pay ranges; create local training and apprenticeship pathways; track local hiring; and recruit suppliers and follow-on industries.

ASK FOR THE RECORD

How many direct permanent jobs will exist by year, what do they pay, which credentials are required, and how will local residents qualify?

07

Are tax incentives worth the public cost?

A large assessed value does not automatically produce the same amount of usable public revenue. Exemptions, abatements, infrastructure costs, service demands, and agreement terms change the result.

RESPONSIBLE RESPONSE

Use an independent fiscal analysis; publish the agreement and assumptions; tie benefits to verified milestones; include clawbacks; and measure infrastructure, workforce, and community outcomes.

ASK FOR THE RECORD

What revenue arrives each year, what public costs are excluded from the headline number, what is guaranteed, and what happens if commitments are missed?

08

What happens to old equipment—or if the project closes?

Servers, batteries, cooling equipment, fuel systems, and buildings eventually reach end of life. Data security and responsible material handling matter during refreshes and closure.

RESPONSIBLE RESPONSE

Require a reuse and certified-recycling policy, secure data destruction, battery and hazardous-material procedures, a decommissioning plan, and financial assurance where appropriate.

ASK FOR THE RECORD

Which recycling standards will vendors meet, how are batteries handled, who owns closure costs, and what reuse plan exists for the land and buildings?

Before a public decision

Ask for one complete project record.

A responsible review connects utility, environmental, land-use, economic, and workforce information instead of considering each promise in isolation.

Find city-specific information →
  1. Power: peak load, phases, interconnection study, upgrades, cost allocation, and grid-response plan.
  2. Water: source, average and peak use, WUE, wastewater, cooling mode, and drought operations.
  3. Air: engine and turbine inventory, fuel, authorization, allowed hours, testing, and reporting.
  4. Neighborhood: noise model, setbacks, lighting, traffic, drainage, construction hours, and complaint process.
  5. Economics: independent fiscal analysis, incentive agreement, public costs, milestones, and clawbacks.
  6. Workforce: construction versus permanent jobs, pay ranges, training, local hiring, and supplier plan.
  7. Safety: fire, battery, fuel, emergency response, utility interruption, and agency coordination plans.
  8. End of life: equipment recycling, data destruction, decommissioning, financial responsibility, and site reuse.

KEEP LEARNING

See which technologies can reduce—and sometimes shift—project impacts.

Explore technology & COH 3D Construction →