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Data Centres: Boom and Backlash
24SEP

Appeal stalls Equinix's Cape Town site

1 min read
13:52UTC

The Housing Assembly and Foxglove appealed Cape Town's approval of an Equinix data centre, citing missing water, emissions, noise and diesel-generator data, and the appeal suspends the consent.

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Key takeaway

An appeal has suspended Cape Town's approval of an Equinix data centre until it is decided.

The Housing Assembly, a Cape Town housing group, and Foxglove, a UK non-profit, lodged an internal appeal on 6 August against the city's approval of an Equinix data centre, which the Municipal Planning Tribunal granted on 14 July⁠1. The appeal, first reported on 20 and 21 September, cites thin public participation and missing information on water use, emissions, noise and diesel generators. Until the appeal is decided, Equinix cannot act on the 14 July approval.

Cape Town had approved five data centres by early September and declined to name the operators or disclose their combined power and water demand. A formal objection against two Equinix sites dates back to June. Equinix describes this site as a long-term land bank with no immediate plans to develop it, the Daily Maverick reported⁠2.

Deep Analysis

In plain English

An appeal lodged by South African civil-society groups Housing Assembly and Foxglove is keeping Cape Town's approval of an Equinix data centre on hold. The groups argue the public was not properly consulted and that the original approval was missing information on water use, emissions, noise and diesel-generator plans. The appeal was actually filed on 6 August, but this is the first time its existence and effect have been widely reported, more than six weeks later.

Deep Analysis
Root Causes

Cape Town's own earlier disclosure practice, declining to name operators or publish combined power and water demand for approved data centres, is close to what the Housing Assembly and Foxglove appeal is now challenging.

The groups argue the city's public participation process did not give residents the water, emissions, noise and diesel-generator data they needed to object meaningfully before approval, rather than after.

First Reported In

Update #15 · Texas freezes data-centre permits

Daily Maverick· 24 Sept 2026
Read original
Causes and effects
This Event
Appeal stalls Equinix's Cape Town site
The appeal suspends Cape Town's Equinix consent while it is decided, though Equinix told the Daily Maverick it has no immediate plans to develop the site.
Different Perspectives
Chilean data-centre developers
Chilean data-centre developers
Seven projects, one linked to Google, asked SEA this month for rulings that they fall outside full environmental review; four declared diesel-storage volumes just under the review-triggering tonnage, mirroring the mechanism Alto Jahuel used in July. The clustering suggests the threshold is being engineered, not sized to need.
An Coimisiun Pleanala
An Coimisiun Pleanala
Ireland's planning appeals body refused the €1.5bn Killala data centre on 17 September, overturning Mayo County Council's 2025 grant for lack of a fixed grid-connection agreement and no corporate renewable power-purchase agreement. The ruling makes matched-power evidence, not planning consent alone, the deciding factor.
Housing Assembly and Foxglove
Housing Assembly and Foxglove
The two groups' 6 August appeal, filed through the Legal Resources Centre, kept Cape Town's approval of Equinix's data centre suspended through this window over missing water, emissions, noise and diesel-generator data. Deputy Mayor Eddie Andrews confirmed on 20-21 September that the suspension holds.
Brazil (President Lula, signing Redata)
Brazil (President Lula, signing Redata)
Lula signed Lei 15.504 on 15 September, creating the Redata tax programme and keeping the Senate's water cap with no veto, while Aneel authorised Scala's AI City to join the national grid from January 2028. Brazil is recruiting capacity other markets are now turning away.
Aragon regional government (Eva Valle)
Aragon regional government (Eva Valle)
Aragon's economy chief Eva Valle said on 11 September that Spain's draft decree, requiring 80% hourly-matched renewables via a 10-year power-purchase agreement, is unmeetable by any project and threatens Blackstone, Azora and Microsoft builds already under way. Aragon holds 3,600 MW of granted grid access against 108 MW built.
Texas Governor Greg Abbott
Texas Governor Greg Abbott
Abbott ordered TCEQ on 21 September to halt every pending data-centre permit until projects pay their own way and complete ERCOT and Texas Water Development Board audits. Texas built the country's most permissive data-centre market; freezing it signals even that market has hit its grid limit.