Local opposition in the U.S. intensifies as S&P warns of rising credit risks for data centers.

BlockBeats news, October 24 - S&P Global Ratings said that data centers may face the risk of credit rating downgrades due to construction halts and project cancellations triggered by public opposition in the United States. In a report released on Friday by S&P analysts including Chris Mooney, it was noted that project delays caused by limited grid capacity, disputes over environmental sustainability, and adjustments to land zoning policies may further increase the credit risk of data center projects.

The report focused on analyzing construction moratoriums in New York, Texas, Pennsylvania, Illinois, and Arizona, and tracked 146 delayed or canceled data center projects in the United States, about three-quarters of which were related to opposition from local residents. In recent months, the data center construction boom has attracted widespread attention. The report said that local governments in 40 U.S. states have introduced related bans. The public is mainly concerned about issues such as energy costs, water shortages, air pollution, and noise pollution.

S&P noted that the actual impact of these factors on credit ratings remains limited for now. But the report warned that if construction halts, slower approvals, or potential policy reversals lead to significant project delays, developers may need to provide rent credits to tenants or even face the risk of tenants terminating contracts early, thereby damaging the projects' credit profiles. (Jinshi)