SNP accused of 'falling far short' of AI data centre pause as applications to be monitored
Scottish councils will now be required to notify SNP ministers of data centre applications
Ministers have been accused of falling “far short of the pause Scotland urgently needs” on new data centres after announcing planning authorities will be required to give notification of new applications.
The Scottish government had been under pressure to confirm a full pause of new applications amid fears over the environmental impacts and energy grid capacity.
A new direction, issued by SNP public finance minister, Hannah Mary Goodlad, applies to data centre developments exceeding 50MW power capacity.
The government has argued the new direction will support strategic monitoring of the pipeline of applications for new data centres and the impact they could have on infrastructure.
Ms Goodlad has also recalled a planning appeal for ministerial decision relating to a proposed green data centre in Edinburgh, and has issued directions requiring environmental impact assessments at locations in Fife and Edinburgh.
Under the new direction, planning authorities across Scotland will be required to notify Scottish ministers of new data centre applications within seven days of validation.
Ms Goodlad said: “Data centres is a rapidly emerging sector, and planning has an important role to play in considering applications, harnessing economic opportunities, and finding solutions which align with our climate goals.
“We must balance the economic and employment interests in developing data centres with national energy, climate and community wealth building ambitions, which are vital to our future prosperity, as well as the potential impact on local communities.
“It is essential to secure public benefits from this type of development, and I am clear that voices of communities that will be affected will be central to any considerations on data centres.”
The Scottish Greens, who have campaigned for a pause on new data centres while a binding national framework is drawn up, have called for more action from the Scottish government.
Scottish Greens climate spokesperson, Mark Ruskell, said: “This is an important first step, but it falls far short of the pause Scotland urgently needs.
“While it is welcome that ministers have finally listened to the Scottish Greens and others, and have recognised the need for greater scrutiny, monitoring the pipeline of applications is not the same as managing it.
“Until the impact on our energy grid, water supplies, climate targets and communities has been properly assessed and councils have clear guidance, there must be a pause on all applications.
READ MORE: SNP Government urged to give update on green data centres strategy five years after promises
“We cannot allow a rush of speculative developments to be approved one by one without understanding the impact on our climate, infrastructure and communities.”
The announcement comes as a company has secured a £300 million debt facility to expand and build two data centres in the North Lanarkshire AI growth zone after receiving a £202m financial guarantee from the UK government’s national wealth fund.
The DataVita project’s debt facility has been raised with participation from a syndicate of lenders and will allow for the expansion of the company’s existing DV1 data centre and fund the construction of a new data centre, DV3.
The financing will enable the delivery of Scotland’s first AI data centres within a designated AI growth zone. The two developments will create around 600 jobs during construction as well as around 100 permanent high-skilled jobs once completed.
UK AI minister, Kanishka Narayan, said the investment “will help ensure Scotland is at the forefront of one of the biggest economic opportunities of our time”.
He added: "For local people, that means more than new buildings and technology.
“It means the chance to develop new skills, access new careers and benefit from the growth and investment that AI can bring."
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