CEQA Stalls California Data Center Investment

California's 1970s-era California Environmental Quality Act (CEQA) is imposing lengthy environmental reviews, hearings, and litigation on large data center and grid projects, creating delays and regulatory uncertainty across the state's AI infrastructure. Recent events include Governor Newsom's 2025 veto of AB 93 and a lawsuit in Imperial Valley halting a major data center, and companies warn investment is shifting to faster-permitting states like Texas.