There is a new panic wandering around Oregon politics, clutching its reusable shopping bag and looking for something else to regulate.
This time, the menace is not loggers, farmers, ranchers, developers, pickup trucks, gas stoves, backyard chickens, or your neighbor’s wood stove. No, the latest threat to civilization is the data center.
Apparently, a building full of servers is now the thing standing between Oregon and utopia.
We are told data centers are gobbling electricity, threatening residential customers, cooking the planet, and endangering “the Oregon way.” That phrase always deserves inspection, because in Salem-speak, “the Oregon way” usually means whatever was politically useful about ten minutes ago.
The funny thing is, Oregon’s power system was not built so we could all sit in the dark, whispering apologies to moss. The Northwest power system was built for industry. Big industry. Loud industry. Hot, heavy, humming, metal-melting industry. The kind of industry that did not ask whether the electrons had emotional boundaries before using them.
The Columbia River hydropower system helped turn the Northwest from a resource-exporting backwater into an industrial powerhouse. Cheap, reliable electricity attracted aluminum smelters, mills, factories, foundries, and the kind of work that made paychecks, not just press releases.
Aluminum smelting was not a cute little cottage industry with a solar panel on the roof and a grant writer in the lobby. It was one of the most electricity-hungry industrial processes on earth. A single large smelter could pull hundreds of megawatts around the clock. Not occasionally. Not when the vibes were right. Continuously.

A large aluminum smelter producing around 500,000 tons per year could require roughly 800 megawatts of average load. That is several times larger than many modern hyperscale data centers. A medium-sized smelter could sit around 400 megawatts. By comparison, many large data centers run in the 50 to 100 megawatt range, while the largest AI campuses may climb into the 150 to 300 megawatt range or beyond.
So when someone hyperventilates that a data center is equal to “tens of thousands of homes,” congratulations. So was the industrial economy that Oregon and the Northwest once bragged about.
The difference is that yesterday’s industry made aluminum. Today’s industry moves information. Yesterday’s Oregon helped power aircraft, transportation, construction, defense, manufacturing, and durable goods. Today’s Oregon has a chance to power cloud computing, artificial intelligence, cybersecurity, data storage, advanced logistics, health systems, financial networks, and the digital infrastructure that nearly every modern business now depends upon.
One era poured molten metal. The next processes molten data.
Both need power.
The question is not whether data centers use electricity. Of course they do. So do hospitals, grocery stores, wastewater systems, schools, sawmills, chip fabs, EV chargers, heat pumps, cannabis grows, and every state agency that keeps finding new ways to email us PDF forms we still have to print and sign.
The question is whether Oregon wants to be a place that produces things again, or whether we prefer becoming a museum exhibit titled “Former Economy, Now With Bike Lanes.”
Over the last half century, Oregon has watched a slow industrial vacuum form. Timber was throttled. Mills closed. Heavy industry faded. Manufacturing was squeezed. Rural communities were told to replace family-wage jobs with tourism, boutique coffee, government programs, and the sacred promise that someday a nonprofit would write a white paper about their resilience.
Now a new industry shows up, ready to invest billions in infrastructure, tax base, fiber, construction, power systems, and long-term facilities, and the official response from some corners is: “How dare you use electricity.”
That is not an energy policy. That is economic self-harm wearing a Patagonia vest.
Yes, data centers should pay their way. Absolutely. No serious person should support sweetheart utility deals that shift infrastructure costs onto residential ratepayers. If a tech giant needs new transmission, substations, backup systems, or special service capacity, then the cost should be properly allocated. Oregon has already moved in that direction with the POWER Act, requiring a separate classification for large energy users so the costs and risks of serving them are not casually dumped onto everyone else.
That is fair.
But fair cost allocation is different from treating data centers like an invasive species.
A sane policy says: build here, pay your way, strengthen the grid, use Oregon’s advantages, and help expand capacity. An unserious policy says: we want modern services, AI tools, cloud storage, streaming video, online banking, telehealth, government databases, digital records, and every campaign email system known to man, but we would prefer the physical infrastructure exist somewhere else.
That is the new environmental theology: consume locally, outsource the consequences.
The same crowd that wants everything electrified is suddenly shocked that electrification requires electricity. They want gas cars replaced with EVs, gas furnaces replaced with heat pumps, gas stoves replaced with induction, factories converted to clean power, homes made more efficient, and the entire economy digitized. Then, when someone proposes the infrastructure to support the digital economy, they shout, “Where will the power come from?”
That is a good question. It would have been an even better question before they tried to electrify everything with the planning discipline of a toddler rearranging a junk drawer.
But the answer cannot be: stop building the future.
The answer is: build more power.
Oregon does not lack potential. It lacks permission. We have hydro history, wind resources, transmission corridors, skilled trades, industrial land, rural counties hungry for investment, and a geographic position that makes us valuable to the West Coast technology economy. What we lack is the political maturity to say yes without immediately forming a committee to study the trauma of yes.
There is a fantasy floating around that residential energy users are doomed because data centers exist. But history does not support that simplistic panic. The Northwest previously supported massive industrial loads. The power system served aluminum smelters and other heavy industry that could consume multiple times the power of today’s typical data centers. The grid did not collapse because industry used electricity. The economy grew because industry had electricity.
The real danger to residential customers is not the existence of large users. The danger is bad regulation, underbuilt infrastructure, politically forced resource shortages, cost shifting, and a refusal to add dependable capacity while demanding more electric consumption from every direction.
Blaming data centers for that is convenient. It is also lazy.
It is like blaming the Thanksgiving turkey for the grocery bill after you spent the whole year banning farms.
Oregon should be asking a better set of questions:
Are data centers paying the full cost of the infrastructure required to serve them?
Are utilities building enough dispatchable and reliable resources, not just politically fashionable resources?
Are we modernizing transmission fast enough?
Are counties receiving durable economic value from these projects?
Are local water and land-use concerns being handled honestly and transparently?
Are we encouraging industries that fit the next economy, or are we chasing them away so another state can collect the jobs, tax base, and infrastructure while Oregon writes another angry report?
Those are fair questions.
But “data centers are a danger to the Oregon way” is not a serious argument. It is a bumper sticker for people who enjoy the internet but prefer not to know where it lives.
And that brings us to the deeper issue. Oregon has spent decades making it harder to build almost anything. Housing? Too hard. Roads? Too controversial. Industry? Too dirty. Timber? Too complicated. Energy? Too political. Transmission? Too slow. Mining? Don’t even ask. Manufacturing? Only if it comes with a community listening session and a mural.
Then we wonder why the economy gets hollowed out.
Data centers are not perfect. No industry is. They use power. They use land. Some use water. They require scrutiny, contracts, regulation, and accountability. But they are also part of the backbone of the modern economy. Every hospital record, small-business website, banking transaction, emergency communication system, logistics platform, cloud file, smartphone app, and government database depends on the same invisible infrastructure people suddenly want to demonize.
If Oregon wants to remain economically relevant, we cannot chase away every industry that uses energy, land, water, roads, workers, or oxygen.
The Oregon way should not be managed decline with nice scenery.
It should be stewardship with ambition.
We should protect residential ratepayers, yes. We should require large users to pay their way, yes. We should demand transparency, yes. We should build more capacity, yes. But we should also recognize opportunity when it knocks, especially after we spent fifty years helping hollow out the industrial base that once carried much of rural Oregon.
Data centers are not the end of Oregon. They may be one of the few remaining signs that somebody still believes Oregon is worth investing in. Before we chase them off in the name of saving “the Oregon way,” maybe we should ask a simpler question: do we want an economy that powers the future, or do we just want to complain about the electric bill while another state cashes the check?
That’s my viewpoint.
Index of Source Material
- Oregon’s Energy History (2020 Biennial Energy Report)
- Pacific Northwest Power Supply Adequacy Assessment for 2027
- A New Loss of Load Probability Heightens Concerns – Cascade Policy Institute
- DOE Market Research Study: Domestic Casting Industry (August 2022)
- Changing Currents: Picturing a Northwest Without Cheap, Public Hydropower
- Why Industries Are Moving to Behind-the-Meter Power
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