The Lutheran Response to the Data Center Boom

Introduction

[1] In recent years, the American public has experienced different impacts upon their standard of living. First, the cost of living has increased significantly, stemming from external factors like an increase in food and energy prices. Second, artificial intelligence^[1] has become more prevalent in daily life. Third, and as important a factor as the first two points, is the rapid expansion of data center construction to power the artificial intelligence boom. This latter issue has become a salient issue for communities around the country, especially among those who fear the environmental externalities and the likely increase in energy costs.

[2] As AI has expanded across the country and into every part of society, including the church, one of the questions presented is how does the church respond to and address the rise of AI and the prevalence of data centers? What are the teachings guiding the church’s response? How can leaders in the church navigate conversations around data centers, especially for those within communities that have welcomed or rejected data centers?

[3] As the AI and data center conversations continue, the church, and namely the ELCA, is taking a step in addressing the impact on local communities. The ELCA is also providing frameworks through existing church teachings, Care for Creation and Sufficient, Sustainable Livelihood for All, to address human dignity amidst AI, and how to preserve community and care for the earth.

[4] Another important piece to this conversation is that young adults in the church, representing different areas, are interested in asking and addressing those questions. This paper addresses the importance of younger generations contributing to the wider conversation.

Framing the issue

[5] Data centers have become a touchstone within local communities for several reasons. First, data centers are nothing new as many of the major companies (e.g. Alphabet, Microsoft, Amazon, Apple, and Meta) have their own server farms.  However, in recent years, there has been a data center boom from those same companies and new players (e.g. Oracle) have proliferated. These companies also produce their own artificial intelligence servers, which require data centers to power them. These companies, also known as hyperscalers, require large portions of land to power their servers.^[2] The projected expenditures from these 5 companies exceeds $700 billion.[3]

[6] Second, Americans face both energy and affordability concerns, which are not mutually exclusive. These data centers are concentrated in areas around the country, and they require large swaths of land. One common place to set up data centers has been former farmland, which was either sold or abandoned before  hyperscalers purchased the land. These data centers cover several acres of land, and they also draw from local watersheds.^[4]  In a recent Bloomberg exclusive, the authors collected data that shows a relationship between location of the data center and wholesale electricity prices.^[5] The authors cited that “more than 70% of recorded places with wholesale price increases” were within 50 miles of data center activity.^[6] Prices have gone up as much as 267% more than it has in the past five years, and the conclusion drawn is that houses near data centers experience a higher wholesale price on electricity.^[7]

[7] Third, data centers are not popular with the public. In a recent Gallup Poll, conducted from March 2-18, 2026, over 71% of respondents were either “somewhat opposed” or “strongly opposed” to the construction of data centers in their area.^[8] Notwithstanding, most Americans prefer NIMBY-ism, or “Not in my backyard,” which has grown to greater noise as the hyperscalers covet more land for their artificial intelligence networks.

[8] As data centers and artificial intelligence networks proliferate, faith communities are presented with new challenges on best ways to address these issues of caring for the environment, confronting the changes within their communities, and providing a moral voice in these times. Let’s turn to these points in the following sections.

Caring for the environment

[9] When considering the implications of the massive data center build, one of the considerations is its damage on the resources it shares. These damages are not isolated to the expected impact of the land that is developed, but also its watershed and electrical grid. Many environmental advocates are concerned with the massive amount of water and energy hyperscale data centers use, particularly in their cooling mechanisms.

[10] Facilities can either use massive amounts of energy to keep their computers at optimal temperatures, or they can use a technique called “evaporative cooling,” which uses a great deal of water.^[9] In many cases, water is cheaper for companies than electricity, and access to land often draws companies to the western United States. A recent report shows that up to two-thirds of data centers built since 2022 have been in areas experiencing high levels of water stress.^[10] Companies like Google and Amazon have the option to use cooling options like “dry cooling,” and have commented they would prioritize doing so in drought-prone areas like Phoenix.^[11] However, low- or no-water systems significantly increase the electricity demand.

[11] Between powering servers and cooling them, data centers have been identified as a key driver of energy demand in the last few years. In 2023, U.S. data centers were consuming 4% of the nation’s total energy use^[12], and in data center hot spots like Virginia they used as much as 26% of the state’s energy supply.^[13] The energy demands of data centers are directly linked to an increase in greenhouse gas emissions, as reported by companies like Microsoft^[14] and Google^[15] who saw a 29% increase and 40% increase, respectively.

[12] The largest energy source powering data centers is natural gas (methane), which supplies 40% of electricity for U.S. data centers, while nuclear power supplies around 20% and coal, the dirtiest of greenhouse gas emitters, powers around 15%.^[16] Renewables, which power around 24%^[17], seem a promising solution, except that energy-hungry companies are instead turning to nuclear.^[18] Energy consumption by data centers is expected to double by 2030^[19] – an unsettling landmark date shared by the International Panel on Climate Change (IPCC) as the recommended time frame to cut greenhouse gas emissions by 50% globally.^[20] A Goldman Sachs report indicates that the majority of the energy used will continue to be from natural gas, increasing global carbon emissions by 215-220 million tons through 2030.^[21]

Confronting the changes

[13] While the above section focuses on the immediate and long-term impacts of data centers on local communities, these same communities also utilize the political process. The political process does not emerge from the halls of state and federal legislatures, rather, from the grassroots. While NIMBY-ism plays a part, people are recognizing the long-term effects on their communities. Several local municipalities have passed one-year moratoriums on data center construction to provide a further study on their impact.^[22]

[14] As the mid-term election draws near, the primary concern for voters is affordability.^[23] While local communities are pushing towards data center moratoriums, the federal government is exploring different ways to offset the costs from the residents and back onto the companies constructing the data centers.^[24] The economic realities are intertwined into the political process, which provides churches opportunities to engage in the conversation.

[15] These conversations are emerging from the grassroots, though at times, there are different views presented. Churches and faith-based organizations have their social teachings and theology to inform their response.

Moral Deliberation

[16] Churches are usually the last to respond to critical issues involved in developing technologies. This may be a good thing. Churches ought not to tilt at every windmill. However, as technology progresses, churches too are speeding up reaction time. As artificial intelligence rapidly expands and evolves, different Christian denominations and faith traditions are wrestling with its implications. This includes the construction of data centers.

[17] As artificial intelligence, which may serve as the fourth industrial revolution, continues to evolve and expand, different denominations have come together to address the rapid development, asking the question: how does the church approach these issues?

[18] The Evangelical Lutheran Church in America has social teachings that shape how the church addresses different issues. In The Church in Society: A Lutheran Perspective states that “social statements… will guide the life of this church as an institution and inform the conscience of its members in the spirit of Christian liberty.[25] The ELCA also releases social messages, which are more tailored to a particular topic.  In this way, among others, ELCA participates and encourages moral deliberation on certain topics.

[19] The Church in Society addresses some key points. First the statement professes that “the church is ‘in’ the world, but not ‘from’ the world.” Second, it claims that the church exists as a community of moral deliberation, which invites baptized Christians to explore their relationship between God’s Word and God’s World. Third, the statement explains that the church does not have all the answers; this pushes the church to engage with other disciplines to address the issues of the current day. Lastly, the statement reminds readers that the church produces social statements and messages to form the church’s teaching from moral deliberation.[26]

[20] As the church continues to wrestle with artificial intelligence and the data center construction boom, the ELCA has several resources at their disposal to begin the conversation. First, the ELCA has three social statements that provide a framework for addressing the questions: Sufficient, Sustainable Livelihood for All, Caring for Creation: Vision, Hope, and Justice, as well as Genetics, Faith and Responsibility, which directly addresses the relationship between science and faith.

[21] Sufficient, Sustainable Livelihood for All[27] rightly notes the tensions between caring for God’s creation, which includes the economic realm, while also balancing the upward trajectory of scientific advancements, which includes artificial intelligence and their respective data centers.

[22] The Evangelical Lutheran Church in America’s Corporate Social Responsibility Desk wrote an issue paper on Artificial Intelligence.  A reflection on this issue paper was published in Journal of Lutheran Ethics: Making an “Issue” Out of AI – Journal of Lutheran Ethics. The issue paper did not specifically address the emergence of data centers.^[28] The paper weighed the benefits, risks, and uses of artificial intelligence. As the AI Issue paper notes, the ELCA is primed to address, or at least, begin the conversation on how the church ought to address artificial intelligence.

[23] It is important to look back at earlier statements on faith and science. Genetics, Faith, and Responsibility (2011) was the first social statement that directly addresses the relationship between science and faith, especially with the rapid study and expansion of genetics.^[29] The statement notes that “Knowledge and technology have never developed in a social vacuum, and genetic research and technology and their delivery are not socially neutral.”^[30]

[24] What arises from this quote is that the church is not immune from the advances in technology. We are called to critically engage the world around us, and more importantly, how that technology is used. Technology, especially AI, is not merely an end, but rather, a means to an end.

[25] As our society continues to consume natural resources, especially for our technological advances, the issues become more complex. Certain voices are left out of the conversation, which also includes the other members of creation. The social statement Caring for Creation offers four principles of justice: participation, solidarity, sufficiency, and sustainability. For the church, a principle that particularly applies is participation.[31] As the data center boom continues, then members of creation are affected. All of God’s creation does not exist alone, rather, we exist as interdependent beings.

[26] When bringing the conversation back to the issue at hand, the overbuilding of artificial intelligence data centers has a long-term adverse effect on society.  However, in this society, democratic processes exist that include public comment and deliberation. While we may not see the consequences in our lifetime, the conversations now invite the church and society at large to think long-term.

Conclusion

[27] The data center conversation is here today, especially as artificial intelligence permeates throughout our society. Yet, as the future remains bleak, the church has the resources to engage in deliberate conversation. Trusting in the promises of God, the church continues its mission to hear the word and engage the world.

^[1] The ELCA’s Information Technology team defines Artificial Intelligence as, “theory and development of computer systems that can perform tasks that typically require human intelligence, such as speech recognition, decision-making, and pattern identification.  AI encompasses a broad spectrum of capabilities, from mimicking human actions and thought processes to acting and thinking rationally.” John Beyer. “AI: Overview, Insights and Roadmap for Non-Profits,” cited in Evangelical Lutheran Church in America’s “Artificial Intelligence: Issue Paper.” Retrieved July 21, 2026 from https://cdn.elca.org/cdn/wp-content/uploads/issue_paper_artificial_intelligence.pdf.

^[2] Sharon Bell. “Hyperscalers to Keep Upping Capex in 2027, Goldman Says,” July 16, 2026. Retrieved on July 19, 2026 from https://www.bloomberg.com/news/videos/2026-07-16/hyperscalers-to-keep-upping-capex-in-2027-goldman-says-video. Hyperscalers are the large technology companies that build the artificial intelligence data centers.

[3] Torsten Slok, Rajvi Jah, and Shruti Galwankar. “Putting the Total Amount of Hyperscaler Cap Ex into Perspective.” Apollo Global Management. February 2026. Retrieved July 24, 2026 from https://www.apolloacademy.com/wp-content/uploads/2026/02/Hyperscaler-capex-022226_v2.pdf.

^[4] O. Solon, “Drought-stricken communities push back against data centers,” June 19, 2021. NBC News. Retrieved July 19, 2026, from https://www.nbcnews.com/tech/internet/drought-stricken-communities-push-back-against-data-centers-n1271344.

^[5] H. Warren, A. Rathi, N.J. Morales, and S. Stapczynski, “How AI Data Centers Are Sending Your Power Bill Soaring,” Bloomberg. September 29, 2025. Retrieved July 19, 2026 from https://www.bloomberg.com/graphics/2025-ai-data-centers-electricity-prices.

^[6] Ibid.

^[7] Ibid.

^[8] J.M. Jones, “Americans Oppose AI Data Centers in Their Area,” Gallup News. May 13, 2026. Retrieved July 19, 2026, from https://news.gallup.com/poll/709772/americans-oppose-data-centers-area.aspx.

^[9] Ariel Wittenberg, Arianna Skibell. “AI’s no-win choice: Using huge amounts of water or energy.” Retrieved July 21, 2026 from https://www.eenews.net/articles/ais-no-win-choice-using-huge-amounts-of-water-or-energy/

^[10] Leonardo Nicoletti, Michelle Ma, Dina Bass. “AI is draining water from areas that need it most.” Retrieved July 21, 2026 from https://www.bloomberg.com/graphics/2025-ai-impacts-data-centers-water-data/

^[11] Ariel Wittenberg, Arianna Skibell. “AI’s no-win choice: Using huge amounts of water or energy.” Retrieved July 21, 2026 from

https://www.eenews.net/articles/ais-no-win-choice-using-huge-amounts-of-water-or-energy/.

^[12] MIT Energy Initiative. “Data Center Power Demand.” Retrieved July 22, 2026 from https://energy.mit.edu/current-initiatives/data-center-power-demand/#research

^[13] Electric Power Research Institute. “Powering Intelligence: Analyzing Artificial Intelligence and Data Center Energy Consumption.” Retrieved July 21, 2026 from https://www.epri.com/research/products/3002028905

^[14] Brad Smith, Melanie Akagawa. “Our 2024 Environmental Sustainability Report.” Retrieved July 21, 2026 from https://blogs.microsoft.com/on-the-issues/2024/05/15/microsoft-environmental-sustainability-report-2024/

^[15]Kate Bradnt, Benedict Gomes. “Google 2024 Environmental Report.” Retrieved July 21, 2026 from https://www.gstatic.com/gumdrop/sustainability/google-2024-environmental-report.pdf

^[16] International Energy Agency. “Energy Supply for AI.” https://www.iea.org/reports/energy-and-ai/energy-supply-for-ai (Accessed July 22, 2026).

^[17] Ibid.

^[18] Ivan Penn, Karen Weise. “Hungry for Energy, Amazon, Google and Microsoft turn to Nuclear Power.” October 10, 2024 Retrieved July 23, 2026 from https://www.nytimes.com/2024/10/16/business/energy-environment/amazon-google-microsoft-nuclear-energy.html.

^[19] International Energy Agency. “Energy Demand for AI.” https://www.iea.org/reports/energy-and-ai/energy-demand-from-ai (Accessed July 22, 2026).

^[20] International Panel on Climate Change. “Sixth Assessment Report: Summary for Policymakers.” Retrieved July 23, 2026 from https://www.ipcc.ch/report/ar6/wg3/chapter/summary-for-policymakers/

^[21] “How AI Is Transforming Data Centers and Ramping Up Power Demand.” Retrieved July 23, 2026 from https://www.goldmansachs.com/insights/articles/how-ai-is-transforming-data-centers-and-ramping-up-power-demand

^[22]D. Stephens, “RoCo residents comment on data centers,” Salisbury Post. July 21, 2026. Retrieved July 21, 2026 from https://www.salisburypost.com/2026/07/21/roco-residents-comment-on-data-centers/.

^[23] J. Papp, J. “Housing costs top political issue for young voters,” CNBC. July 19, 2026.  Retrieved July 23, 2026, from https://www.cnbc.com/2026/07/19/housing-costs-election-young-voters-cnbc-survey-finds.html.

^[24] “Ratepayer Protection Pledge – The White House.” March, 2026. Retrieved July 23, 2026, from https://www.whitehouse.gov/releases/2026/03/ratepayer-protection-pledge/.

[25] The Church in Society: A Lutheran Perspective, 7. https://cdn.elca.org/cdn/wp-content/uploads/Church_SocietySS.pdf.

[26] Ibid, 2, 3-7.

[27] Sufficient, Sustainable Livelihood for All, 7. https://cdn.elca.org/cdn/wp-content/uploads/EconomicLifeSS.pdf.

^[28] “Artificial Intelligence Issue Paper.” Retrieved July 24, 2026 from https://cdn.elca.org/cdn/wp-content/uploads/issue_paper_artificial_intelligence.pdf.

^[29] Genetics is another field that widely uses Artificial Intelligence, especially when exploring gene editing and gene therapy.

^[30] Genetics, Faith, and Responsibility, 6. https://cdn.elca.org/cdn/wp-content/uploads/GeneticsSS.pdf.

[31] Caring for Creation: Vision, Hope, and Justice, 10. https://cdn.elca.org/cdn/wp-content/uploads/EnvironmentSS.pdf.