The Big Picture

Data centers are becoming one of the defining infrastructure stories of the modern economy—right alongside roads, airports, and power plants. They’re the physical backbone of the digital services people rely on every day, and increasingly the engine room for artificial intelligence tools that are reshaping how work gets done.

This new wave of growth is especially visible in Utah. According to an April 2026 data summary from the Kem C. Gardner Policy Institute, Utah currently hosts 48 operational data centers totaling about 920 megawatts (MW) of capacity, with massive additional projects in the pipeline. And it’s not just incremental expansion: projects under construction are expected to add roughly 2,600 MW—nearly tripling today’s operational capacity once fully online.

In other words: Utah is already in the data center business, and the scale is rising fast.

What’s Happening

Utah’s data center footprint is growing—and it’s also highly concentrated.

Operational and planned facilities are clustered in a handful of locations, including Salt Lake City, West Jordan, Bluffdale, Eagle Mountain, and Delta. The existing capacity is also top-heavy: the 10 largest operational data centers account for nearly 80% of total capacity (about 735 MW).

That clustering matters because it’s colliding with the realities that came through clearly in the conversation at the University of Utah’s April 2026 event, The Future of Energy Infrastructure: data centers aren’t an abstract “tech” story anymore. They’re local land-use projects with real infrastructure footprints—power, water, air permits, and community expectations all wrapped into one.

The next generation of facilities is also simply bigger. Across the U.S., average power capacity per new facility has climbed dramatically—from roughly 15 MW per facility (2010–2015) to more than 65 MW by 2025—reflecting the shift toward large “hyperscale” campuses.

Utah reflects that trend. New data center capacity in the state averaged about 50 MW between 2020–2025, and now Utah is seeing projects far beyond that scale.

A 2026 inventory of Utah’s pipeline shows eight planned projects totaling about 2.6 gigawatts (GW) (2,600 MW). The largest contributor is the Joule HP Compute Campus in Delta, accounting for about 1.4 GW.

The under-construction additions include projects like:

• QTS Eagle Mountain II (~650 MW, under construction, expected 2026)
• Joule HP Compute Campus (1,400 MW under construction, expected 2028)
• Creekstone Delta Gigasite (300 MW under construction, expected 2027)
• Additional under-construction builds in places like West Jordan and Eagle Mountain

Notably, the report also highlights that a substantial portion of under-construction capacity—about 1,700 MW—is expected to be “behind the meter” or off-grid, which changes how projects interact with utility systems, regulatory oversight, and public policy.

Why It Matters

1) These projects reshape energy demand and grid planning

Data centers are “concentrated and non-interruptible load”—meaning they can add to peak electricity demand without being easily curtailed when the grid is stressed.

In the interview, USC’s Shon Hiatt put it plainly: these facilities are “looking for power,” and whether they get it through the grid or through behind-the-meter generation, the state still ends up making choices about reliability, permitting, and location.

The Kem C. Gardner report underscores the stakes: the National Electricity Reliability Corporation projects Utah could face elevated grid risk in 2031, when supply shortfalls may occur under extreme conditions. Put simply: rapid data center expansion can force major decisions about generation, transmission upgrades, timelines, and cost allocation—especially as capacity scales into the multi-gigawatt range.

2) Water use is becoming a front-and-center concern

The report offers a stark comparison: a 100 MW data center can consume roughly 2 million liters of water per day, approximately equal to 6,500 households’ daily use. It also notes that nearly all of Utah’s operational and planned data centers sit on the Wasatch Front, an area classified as “High” baseline water stress by the World Resources Institute.

Hiatt described one of the core tradeoffs emerging in water-stressed regions: moving away from evaporative cooling can reduce water demand—but often at the cost of higher electricity use. That’s the kind of reality that makes transparency and planning essential.

3) Air quality and “backup power” aren’t side issues

One of the less-discussed but increasingly important questions is what happens when reliability requirements meet air quality constraints.

Hiatt noted that many large data centers rely on massive diesel generators for backup power. In a grid event, those generators can turn on—and the emissions can be significant. Another emerging factor is behind-the-meter power: if facilities bring their own generation, the permitting and emissions profile depends heavily on technology choices (for example, natural gas turbines vs. fuel cells).

For Utah, this becomes a practical policy question: where should these facilities be located, and under what permitting conditions, especially along the Wasatch Front.

4) Jobs come in waves—and the long-term footprint is smaller than the construction boom

The report estimates that nationally, the pipeline expected online by 2030 could support 21,000–39,000 active construction jobs, transitioning to 42,000–67,000 permanent operations jobs.

For Utah specifically:

• Construction employment peaks in 2025 and declines through 2030
• By 2030, permanent operations jobs range from about 2,000 to 3,250

The takeaway: data centers can generate meaningful employment, but the job profile is “spiky”—big construction surges followed by comparatively leaner long-term staffing, especially as facilities become more automated.

5) Opposition is real—and it can change project outcomes

Between 2023–2025, the report notes 17 data centers were canceled and 18 delayed nationally due to opposition. Leading concerns include water, energy demand, land use, noise/light, traffic, ecological impacts, and transparency.

Hiatt pointed to a recurring theme in the national pushback: communities often feel like “everything’s been done in secret.” The response, in many cases, isn’t just more technical detail—it’s earlier engagement, clearer information, and a process people can actually see and participate in.

6) Utah policy is evolving alongside growth

The report highlights several Utah bills shaping the environment:

• SB 114 (2020): sales tax exemptions for qualifying data centers and occupants (≥150,000 sq ft) for certain equipment
• SB 132 (2025): establishes processes and cost responsibility for utilities serving large loads; enables large-load customers to negotiate with generation providers if not grid-connected
• HB 76 (2026): requires certain new large data centers (≥75 acre-feet/year of water withdrawals) to report anticipated and annual water use
• HB 507 (2026): limits local incentives for very large data centers (≥100 MW) unless located in a regionally significant development zone

This mix reflects the balancing act: enabling investment while addressing infrastructure costs, water reporting, and how incentives are used.

The Bottom Line

Utah’s data center economy is moving from “present” to “pivotal.” The state has 920 MW of operational capacity today, but roughly 2,600 MW is under construction, concentrated in a few rapidly developing corridors and anchored by mega-projects like Delta’s Joule campus.

That growth brings real upside—investment, construction activity, and long-term operational jobs—while also raising high-stakes questions about grid reliability, water constraints, community impacts, and transparent governance.

The conversation isn’t whether data centers are coming. They already are. The question is whether the systems around them—power planning, water reporting, permitting, and public engagement—keep pace with the scale that’s arriving.