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Sioux Falls Faces Rising Concerns Over Proposed Gemini Data Center

SIOUX FALLS — A proposed Gemini data center has ignited deep unease across Sioux Falls, with residents and critics warning that the project’s sheer scale could overwhelm the city’s energy, water, and infrastructure—reshaping the community in ways that may not be easily undone.

At the center of the controversy is consumption. Estimates presented during public discussions suggest the facility could draw as much electricity as 50,000 homes while consuming millions of gallons of water each day to cool its servers. Critics say that level of demand could nearly double Sioux Falls’ current usage, placing unprecedented strain on local resources.

Energy experts and local observers have also raised alarms about the power grid. South Dakota may lack sufficient generation capacity to support a facility of this magnitude without constructing new power plants or purchasing large amounts of electricity from outside the state. Either option, opponents warn, could translate into higher utility costs for residents and increased vulnerability during peak demand or extreme weather events.

Environmental concerns add another layer of anxiety. Residents fear the long-term consequences of massive water withdrawals, particularly for the Missouri River watershed, as well as the challenge of managing electronic waste generated by a constantly evolving data operation. Once built, critics argue, the environmental footprint would be permanent—while promised safeguards remain largely theoretical.

These worries came into sharp focus during passionate and often tense city council hearings, where residents packed chambers to voice opposition. Many questioned whether Sioux Falls would see meaningful local benefits beyond short-term construction jobs, while bearing the long-term costs of higher rates, resource depletion, and infrastructure stress.

Despite these concerns, the Sioux Falls City Council approved rezoning for the project. Developers have defended the plan, citing advanced technology, efficiency measures, and potential economic growth tied to high-tech investment. Supporters argue the data center could position Sioux Falls as a regional technology hub.

But for many residents, assurances have done little to quell a growing sense of foreboding. As one speaker warned during public comment, the city may be standing at a crossroads—lured by promises of innovation while risking a future defined by scarcity, higher costs, and irreversible strain on the systems that sustain daily life.

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