Finland halts construction of Google data centers for environmental reasons

The construction of two Google data centers in Finland has been temporarily halted by the Finnish regulator LVV. Authorities have instructed Google to cease preparatory work in Muhos and Kajaani by October 23, 2026, as forest has already been cut without the necessary environmental assessment. The suspension concerns two of the four sites where Google plans to invest a total of €13 billion in AI infrastructure.

According to the Finnish Licensing and Supervision Authority (LVV), large areas of forest have already been cut, while no environmental impact assessment has been completed. The nature conservation association has estimated that more than 300 hectares of forest have been cut, which is equivalent to the area of approximately 400 football fields. The construction sites, which are larger than previously thought, are subject to strict environmental regulations that have not been adhered to.

Google has acknowledged that it did not comply with the regulations and stated it would follow the authorities' guidelines. The mayor of Kajaani emphasized the importance of the authorities' warning. The expected environmental assessments for both locations must be completed before the end of 2026 before the construction process can resume.

Google's €13 billion investment in Finland, announced on September 9, 2026, is aimed at strengthening the country's digital and sustainable energy infrastructure. In addition to the construction of the data centers, there is also attention to projects related to energy production, such as encouraging wind energy and supporting a local nuclear power plant. The situation highlights that the development of AI data centers is not only dependent on energy supply, but also on compliance with environmental regulations.

In the Netherlands, the capacity of data centers is also increasing, with expected consumption of more than 5,100 gigawatt-hours in 2024. The Finnish decision may affect Google's planning for 2027 and 2028, but the specific consequences are currently unclear.

Read the full article from AI Insider.