INDIANAPOLIS — Governor Mike Braun is weighing in on the conversation about data centers in Indiana following Google’s withdrawal of a petition to rezone land for a proposed facility in Franklin Township.
On Tuesday, Braun said tech companies will need to justify projects to local communities.
“So you saw what just happened yesterday. I think data centers are going to have to expect that they need to make the case to locals. Thank goodness our legislature passed a minimum amount that any data center will have to put into it. Again, to protect ratepayers, and I'm looking not for just 80% of the cost of generation. We're going to try to get the folks that want to do 100, maybe even more, to put some back on the grid,” Braun said.
The governor acknowledged Indiana’s strong business climate but noted that not every community will welcome such projects.
“We've got a great business climate, and you can see now it created a dust up because it wasn't sold and it's not going to be for all places. I met with a rural county just last week that would love to have a data center,” he explained.
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Braun stressed that each community will weigh the pros and cons differently.
“Every place will be different. Every county really will have a different appetite for it, and I think if they do a good job on explaining the pros and cons and make sure they're not trying to abate taxes to where it can be helpful to these jurisdictions to a degree that would be too extreme. It can be a win-win,” he said.
Braun also pointed to the strain data centers can place on the power grid.
“We still have to make sure that we've got enough generation capacity, but it's got to also be done taking the ratepayer in mind,” Braun said.
With electricity costs already a concern for residents, Braun said major tech companies will need to shoulder the financial responsibility.
“Now that rates also have gotten in a place that most people are uncomfortable with, any data center is going to have to expect that, since one could use up to 5% of our current generation, that they're going to have to be responsible for paying for it, and then ideally making the case of the community benefits more broadly. And I think we'll still get a lot of data centers wanting to do it because we're a good place to be for any business,” he said.
Google’s withdrawal comes amid a series of major tech developments in Indiana.
In 2024, projects were announced for Amazon in New Carlisle, Meta in Jeffersonville, Microsoft in LaPorte and Google in Fort Wayne. According to the website Data Center Map, Indiana is currently home to 72 data centers statewide.
Braun reiterated that some counties, particularly rural ones, remain eager to bring in such facilities — but the ultimate success will hinge on transparency, fair cost-sharing and community buy-in.
