Communities may soon be left in the dark about new local data centers under a proposed EPA rule change

AI data centers are becoming a hot topic in many communities across the country. Every time big tech launches a new, more capable model or advanced feature, the use cases increase the need for more compute power for AI tools and cloud services.Now, a proposed change from the Environmental Protection Agency could make it harder for residents of proposed data center locations to find out about the projects before they are approved.As reported by the Associated Press on Thursday, the proposal would remove a federal requirement for states to give the public notice and an opportunity to comment before issuing certain air pollution permits.Although the change is not specific to data centers, it would apply to a category of facilities considered "minor" sources of air pollution under the Clean Air Act. These include businesses ranging from repair shops and laundromats to landfills and steel mills. It could also apply to data centers, making the proposal especially important as big tech races to secure locations to support AI growth.What is the EPA proposing?The EPA first proposed the rule in July, and it involves a part of the Clean Air Act called the New Source Review, or NSR, program. Right now, under federal regulations, minimum requirements are set to ensure the public is involved when states and local agencies handle these minor-source permits. According to the EPA's explanation of the permitting process, the public is given 30 days to submit their concerns or request a public hearing.Although the EPA wants to eliminate that, it doesn't mean every state would stop notifying residents about proposed facilities. It just wouldn't be a requirement. The concern leans more toward states that don't have strong requirements already in place of their own.Why does this matter for data centers? (Image credit: Shutterstock)Data centers need enormous amounts of power to keep thousands of servers running. Additionally, they have diesel generators that can provide backup power if there is a problem with the electric grid.Sign up to the Tom's AI Guide weekly newsletter summing up all the biggest AI news you need to know. Plus, analysis from our AI editors and tips on how to use the latest AI tools!Those generators can release pollutants such as nitrogen oxides and carbon monoxide. Depending on the size of a project and its expected emissions, the generators can be covered by minor-source air permits.Data centers have also become a much bigger political issue as AI companies expand their infrastructure.Communities have raised concerns about their electricity and water use, noise and pollution. At the same time, supporters point to the investment and tax revenue they can bring to local communities.The debate is especially important in places such as Virginia and Georgia, which have become major centers for data center construction.The AP reports that environmental groups are concerned about states in the South and Midwest where local public-notice requirements may not go beyond what the federal government requires.If the federal requirement disappears, residents in one state might continue receiving notices about proposed projects while people in another state could have fewer opportunities to learn about them or comment before a permit is approved.Why does the EPA want to change the rule?The EPA says the proposal is about reducing unnecessary delays rather than weakening environmental protections.The agency argues that minor sources generally produce lower emissions than major sources and that the Clean Air Act itself does not require these federal public-notice and comment procedures for minor sources.EPA Administrator Lee Zeldin said the change would cut “unnecessary and burdensome red tape” while giving more authority to state and local governments.The EPA also says the proposal would not change emissions standards. Facilities would still have to meet applicable air-quality requirements.An EPA spokesperson told the AP that describing the proposal as an attempt to hide data centers is a “false narrative.” The agency's position is that states should decide how their own public participation process works.Critics see the situation differentlyMike Koerber, a former deputy director of the EPA's air quality office, told the AP that eliminating the federal requirement could create an “unlevel playing field” where residents in some states know about new projects while those elsewhere do not.A coalition of nearly 200 environmental, health and community groups has also opposed the proposal.Keri Powell, an attorney with the Southern Environmental Law Center, told the AP that communities should have an opportunity to weigh in before projects that could affect them are approved.Data centers are becoming a political issue (Image credit: Mark Wilson/Getty)The proposal comes as the Trump administration pushes for faster development of AI infrastructure in the United States.President Donald Trump has argued that data centers are important to America's competition with China in artificial intelligence. He has also acknowledged the growing public resistance to them and has urged technology companies to generate their own electricity rather than driving up utility costs for other customers.Final thoughts According to a 2025 AP-NORC poll, about four in 10 American adults said they were extremely or very concerned about AI's effects on the environment. Americans were also more likely to believe AI would hurt rather than help the environment over the next decade.Data centers are not the only facilities that would be affected by the EPA proposal, and eliminating the federal requirement would not automatically eliminate public input everywhere.But the debate raises a bigger question as AI expands: How much should people get to know about — and have a say in — the infrastructure being built in their communities?What do you think? Share your thoughts in the comments below.Follow Tom's Guide on Google News and add us as a preferred source to get our up-to-date news, analysis, and reviews in your feeds. Subscribe to Tom's Guide on YouTube and follow us on TikTok. More from Tom's GuideHumanoid robot fights back after man pushes it in store — is this the beginning of the uprising?ChatGPT-6 Astra is here — this one prompt shows what it can really doSnickers made a digital candy bar that claims to fix ChatGPT — I put it to the test