Eastport residents push City Council to oppose underwater AI data center

Eastport, Maine residents pushed the City Council to oppose a proposed underwater AI data center in the Bay of Fundy’s Western Passage during a May 13 meeting. DeepGreen Western Passage SPV LLC, a company specializing in underwater powered data infrastructure, filed for a 48-month preliminary permit with the Federal Energy Regulatory Commission (FERC) in February to conduct engineering and environmental studies for the project. The site, located north of Eastport, is one of two potential locations for DeepGreen’s first project, with the other in Alaska’s Upper Cook Inlet. Residents raised concerns over the project’s impact on protected wetlands under Maine’s Mandatory Shoreland Zoning Act, which requires safeguards for areas affected by tidal action. Birdy Velveteen argued the on-shore cable route for the data center falls within these protected zones, citing the U.S. Clean Water Act’s definition of wetlands. Suellen Hendrix, another resident, questioned the project’s benefits for the local economy and accused developer Louis Wolfson of prioritizing profit over community welfare, noting he resides in Cape Cod but chose Eastport for the site. Hendrix also referenced South Portland’s Clear Skies Ordinance as a model for potential action, while Laurie Stone questioned reports of a supposed community benefits agreement with DeepGreen, stating the city’s lack of knowledge about it justified a pause. Deborah Gillespie proposed a sample moratorium ordinance, urging the council to study the project further before it advances. The City Council declined to vote on a moratorium, citing the early development phase and the mandatory expiration dates of such measures. Instead, they agreed to send a letter to Wolfson, echoing concerns expressed in an April 9 letter from Washington County commissioners who stated they do not support the preliminary permit application. The council emphasized the need for further review before making a final decision on the project.