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Data Centres: Boom and Backlash
22OCT

Finland's LVV halts Google's site works

4 min read
16:40UTC

Finland ordered Google's subsidiary to stop works at Muhos and Kajaani; Chile's SEA let its Cerrillos data centre skip full review; Spanish media report a paused expansion.

IndustryDeveloping
Key takeaway

Finland stopped Google's works while Chile's diesel threshold let a Google data centre skip full review.

Finland's regulatory control agency, LVV, has given Tuike Finland, Google's Finnish subsidiary, until 23 October to stop preparatory works at its planned data-centre sites at Muhos and Otanmäki in Kajaani until environmental impact assessments finish⁠1. LVV is weighing a fine that becomes payable only if Tuike does not comply. Google said it would comply, and a spokesperson said the company had "fallen short of our own high standards".

At Google's operating campus in Hamina, Tuike felled flying-squirrel nest trees, feeding areas and travel corridors on about 1.3 hectares in 2018 and 2019 without permission, Yle reported on 20 October from records Helsingin Sanomat obtained⁠2. The Siberian flying squirrel is strictly protected under EU law, and Google received reprimands only. Tuula Tanska, LVV's head of Nature protection, said officials found at the time that the felling was inadvertent.

In Santiago, Chile's environmental assessment service, SEA (Servicio de Evaluación Ambiental), ruled that Google's redesigned data centre in Cerrillos need not enter full environmental review, El Desconcierto reported on 19 October⁠3. Google dropped the original project in 2024 over aquifer water; the redesign uses air chillers and clears review under a 2025 rule that raised the diesel-storage trigger from 80 to 1,000 tonnes. Opponents say Cerrillos stores almost 700 tonnes.

Cerrillos is the second exemption since the threshold rose, after Alto Jahuel; five more filings from the group reported in September declare 511 to 990 tonnes. SEA's own July 2026 resolution on Alto Jahuel shows a 990-tonne tank and 56 diesel generator sets totalling 94.95 MW, more than the 92.7 MW on-site substation that connects it to the grid⁠4.

In Spain, Xataka, citing El Mundo, reported on 20 October that Google has paused plans worth billions of dollars to expand its compute capacity until it sees the final data-centre decree; Google has made no statement⁠5. The project named as most exposed is the Cantabria landing station for its subsea cable to Florida. The reported trigger is the draft's rule that 80% of consumption come from new renewables matched hour by hour, counting only plants started within 18 months of the data centre.

Óscar López, the Digital Transformation minister, said on 8 October he hoped to approve the decree before the 29 November election. On 22 October he said he could not confirm the date, adding that Google has always committed to investing in Spain⁠6. The Consejo de Estado, Spain's top advisory body, has yet to give its opinion, and the CNMC (National Markets and Competition Commission) has recommended relaxing both the 18-month rule and hourly matching, Demócrata reported. The consultation on the draft closed in September.

Deep Analysis

In plain English

Google builds data centres, large buildings full of computers, in many countries. Each country has its own rules on Nature, pollution and energy, and this week three of them touched Google. In Finland, the national permits regulator, LVV, told Google's local company to stop clearing land at two planned sites until environmental studies are done. Records also show the company cut down trees used by a protected flying squirrel at an older site. In Chile, the environmental assessment service, SEA, said a Google site in Santiago does not need a full environmental study. In Spain, a newspaper says Google has paused new investment until the government publishes final energy rules for data centres.

Deep Analysis
Root Causes

Chile's 2025 rule raised the diesel-storage trigger for full review from 80 to 1,000 tonnes, a twelve-fold jump. SEA also treats emergency generators as auxiliary plant rather than a power station above 3 MW, so neither fuel nor generation pulls a data centre into review below that tonnage.

In Finland, section 32(2) of the Environmental Impact Assessment Act lets LVV halt preparatory works until assessments finish, covering tree removal, topsoil stripping, blasting and site roads. Tuike's own March 2025 permit application for an eighth hall at Hamina acknowledged that mapped Nature areas were destroyed in earlier phases.

In Spain, the draft counts only renewable plants started within 18 months of the data centre. Few existing plants qualify, so a developer must commission new generation on the data centre's own timetable.

What could happen next?
  • Consequence

    LVV may move to an enforcement order backed by a conditional fine if Tuike does not stop work by 23 October.

    Immediate · Suggested
  • Precedent

    Further Chilean filings declaring 511 to 990 tonnes of diesel may also be exempted under the 1,000-tonne threshold.

    Short term · Assessed
  • Risk

    If Spain's decree is not approved before the 29 November election, investors face a longer wait for the final rules.

    Short term · Suggested
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Google said it would comply with LVV's order to stop preparatory works at Muhos and Kajaani until environmental assessments finish. A spokesperson conceded the company had fallen short.

Written with AI from Lowdown's published reporting. Not individually reviewed by an editor. Editorial standards.