Azambuja refuses ‘blank cheque’ for proposed €2 billion data centre – Portugal Resident

Azambuja council has refused to endorse a proposed €2 billion data centre as a Project of Potential National Interest, warning that the vast development could not be handed a “blank cheque” before its environmental and social consequences were known.

The Azambuja DC project, planned for Alcoentre in the district of Lisbon, is being promoted by French renewable energy company Neoen and would constitute a major new digital infrastructure development.

But no completed assessments of its environmental, noise or landscape impact have yet been presented, according to deputy mayor António Matos.

“At the moment, there are more doubts than certainties,” he told Lusa.

“What we did was tell AICEP (state trade and investment agency) that we were issuing an unfavourable opinion because the doubts outweigh the certainties. We could not simply give a blank cheque when there is so much still to be clarified.”

The council’s decision concerns an application for PIN status, which is granted to investments considered of potential national importance and can help projects move more quickly through administrative and licensing procedures.

It does not amount to a rejection of the data centre itself. The council has stressed that it is not opposed in principle to such a development, but wants its effects properly assessed before lending it political support.

Particular concern surrounds the proposed location near Torre Bela and the cumulative burden already being placed on neighbouring communities.

“Those people have already made so many sacrifices,” Matos said. “They have the solar panels, they have had a tremendous struggle because of the high- and very-high-voltage power lines, they are going to have to put up with the high-speed railway line — and now this on top of it all?”

The council leadership’s proposal to submit an unfavourable opinion to AICEP was approved by two Socialist councillors and the CDU representative. Another PS councillor abstained.

The two PSD councillors refused to participate in the vote, alleging a lack of transparency by the Socialist-led council under mayor Silvino Lúcio.

Neoen has said it respects the municipality’s position but stressed that the opinion relates solely to the possible granting of PIN status. It is neither binding nor a decision on whether the project could be licensed or built.

The company said Azambuja DC remains at a preliminary stage and that no final investment decision has been taken.

Technical, environmental and economic studies are now examining the project’s viability and possible effects on noise levels, water supplies, traffic, the landscape and biodiversity, the company added.

Neoen said it would present further technical details to the municipality as the studies were completed.

The company estimates that the data centre would consume approximately 9,225 cubic metres of water each year. It said local supplier Águas da Azambuja had confirmed that this would be compatible with the capacity of the network.

If built, the development is expected to create around 500 temporary construction jobs and 200 permanent positions.

For now, however, Azambuja’s message is that employment forecasts and the size of the investment are not enough. Before the project receives a label suggesting national importance, the people expected to live beside it want to know precisely what else they may be required to sacrifice.

Source material: LUSA