New Orleans City Council bans data centers for a year

The move aims to clarify zoning regulations for future projects amid concerns over energy and water consumption.

Jan. 29, 2026 at 1:07pm

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The New Orleans City Council has passed a yearlong ban on data centers in the city. This move aims to clarify zoning regulations for future projects. The decision comes as a proposal to build a data center in New Orleans East has drawn concerns from residents and local politicians about potential environmental impacts.

Why it matters

Data centers are a growing industry, but they can have significant energy and water demands that raise concerns for local communities. The New Orleans City Council is taking a pause to better define regulations around data centers before allowing any new development.

The details

The council voted to implement a one-year moratorium on data centers, known as an interim zoning district, while the City Planning Commission reviews zoning regulations. Councilmember JP Morrell said the city cannot permanently ban data centers without first defining them in the zoning code. Some community advocates worry the new zoning category could still allow data centers in the future. The move follows a proposal for a solar-powered data center in New Orleans East, which Mayor Helena Moreno has opposed due to concerns about energy, water usage, and impacts on the residential neighborhood.

  • The New Orleans City Council passed the one-year ban on data centers on January 28, 2026.
  • The interim zoning district takes effect immediately while the City Planning Commission reviews regulations.

The players

New Orleans City Council

The legislative body of the city of New Orleans that passed the one-year ban on data centers.

JP Morrell

A New Orleans City Councilmember who introduced the motions for the data center ban and zoning review.

Helena Moreno

The Mayor of New Orleans who has voiced opposition to a proposed data center project in New Orleans East.

MS Solar Grid Data

A company that has proposed building a solar-powered data center in New Orleans East, which has drawn concerns from residents and local officials.

Osarumwense Adun

A community advocate who has vocally opposed the city council's proposed data center legislation.

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What they’re saying

“In order to ban data centers you have to define them. When you don't define an item, you create loopholes for it to exist.”

— JP Morrell, New Orleans City Councilmember (New Orleans City Council meeting)

“With this language in the motion set forward, you are paving a pathway for potentially a data center to be developed in the future after the interim zoning district is over.”

— Osarumwense Adun, Community advocate (New Orleans City Council meeting)

“I'm working in collaboration with the New Orleans City Council to prevent projects like this from happening in our neighborhood.”

— Helena Moreno (Instagram)

What’s next

The City Planning Commission will review zoning regulations for data centers during the one-year moratorium period.

The takeaway

This ban highlights growing concerns about the environmental and community impacts of data centers, as cities work to better define regulations around this rapidly expanding industry.