LANSING, MI - Massive data centers powering tech giants’ artificial intelligence ambitions could get millions in Michigan tax breaks without being powered by clean energy because of a “loophole” in state guidelines, environmental groups and consumer watchdogs warn.
Lawmakers passed tax exemptions in 2024 meant to lure the largest “enterprise” data centers from companies like Google, Microsoft and Meta and they were signed by Gov. Gretchen Whitmer.
To qualify, the power-hungry server warehouses would have to obtain at least 90% of their forecasted electricity usage from clean energy. The requirement was a concession to environmental groups who worried data centers drawing more power than entire cities would derail the state’s goals to cut planet-warming emissions by supercharging dema

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