{"id":3680,"date":"2026-04-29T07:40:17","date_gmt":"2026-04-29T06:40:17","guid":{"rendered":"https:\/\/www.thebusinessdesk.com\/scotland\/?p=3680"},"modified":"2026-06-04T12:27:25","modified_gmt":"2026-06-04T11:27:25","slug":"data-centre-and-battery-storage-developers-struggle-to-overcome-opposition","status":"publish","type":"post","link":"https:\/\/www.thebusinessdesk.com\/scotland\/news\/3680-data-centre-and-battery-storage-developers-struggle-to-overcome-opposition","title":{"rendered":"Data centre and battery storage developers struggle to overcome opposition"},"content":{"rendered":"

The UK’s transition to renewable energy sources and demand for increased computing power are increasingly putting pressure on the electricity grid and data capacity.<\/p>\n

To solve these problems, the private sector is attempting to meet demand by building new data centres and battery energy storage systems (BESS), but in many parts of the country, developers are coming up against opposition from local people and local authorities during the planning process.<\/p>\n

Data centres<\/h2>\n

To help speed up the process, in 2024 data centres were designated as Critical National Infrastructure – putting them on equal footing with water, energy and emergency services systems – and meaning they can’t be blocked by local objections.<\/p>\n

In November, proposed Infrastructure Planning (Business or Commercial Projects) Regulations were approved by the House of Lords, designed to provide data centre developers with a right to request that their project be considered as a nationally significant infrastructure project (NSIPs) for the purposes of consenting.<\/p>\n

In its AI growth zones paper, the UK Government stated that “planning for most AI data centres will be consented through the standard local planning process” and that it expects that only “a small number of very large projects may need to go through the NSIPs consenting route”.<\/p>\n

In March, the government said it would consult on whether data centres could get priority access to the electricity grid.<\/p>\n

During the first half of 2025 the queue for access grew by 460%, driven mostly by the boom in demand for artificial intelligence computing power and cloud storage. This follows a warning from Ofgem in November that the queue had surged past “even the most ambitious forecasts for future demand”, while noting that many projects were only “speculative”, without financing, proper planning permission or land rights.<\/p>\n

Westminster is now looking at which “strategically important” projects could move up the list, including artificial intelligence (AI) infrastructure, EV charging hubs and industrial sites looking to go green.<\/p>\n

There are nearly 500 data centres across the UK already, accounting for around 2% of the country’s electricity demand, but the grid operator estimates that this demand could increase by up to six-fold between now and 2050. UK industrial power prices are already among the highest in Europe, which materially affects the total cost of ownership calculations that ‘hyperscalers’ and enterprise customers use when choosing where to deploy capacity.<\/p>\n

The other criticism often made of data centres is their water usage – something which is becoming increasingly scarce in certain parts of the UK. A recent report from the Government Digital Sustainability Alliance highlighted that AI is predicted to lead to an increase in global water usage from 1.1 billion today to 6.6 billion cubic metres by 2027.<\/p>\n

\"Clinton

Clinton Hasell, chief business officer at Kao Data<\/strong><\/p><\/div>\n

Kao Data is currently building a large data centre in Stockport<\/a>, after planning permission was passed unanimously during 2024. The project represents an investment of \u00a3350m, with a potential to boost Stockport\u2019s economy by \u00a3155m during its construction period. The construction alone is set to create between 700 and 1,000 full-time jobs a year, while 80 jobs will be maintained when the centre is operational.<\/p>\n

Clinton Hasell, chief business officer at Kao Data, said that while support for this facility was strong, the UK has become a noticeably harder environment in which to approve and build digital infrastructure over the past few years.<\/p>\n

“Power availability at a regional level is the single biggest constraint, particularly where demand is heaviest, alongside that, suitable brownfield sites with the necessary access to power, fibre and water are increasingly scarce, which is pushing developers into more complex site assembly and longer pre-planning timelines.”<\/p>\n

He pointed out that there is also a growing public dimension. “Local communities often carry significant misconceptions about what data centres actually do, what they employ and what resources they consume.<\/p>\n

“The idea that a facility will drain local water supplies, generate endless traffic, or bring no economic benefit is widespread, and it fuels increasingly organised community opposition.”<\/p>\n

Hasell added: “The recent designation of data centres as critical national infrastructure, the changes to the National Planning Policy Framework, and the opt-in route into the Nationally Significant Infrastructure Projects regime are all genuinely positive steps, but they have not yet fully taken hold on the ground, and the sector still needs to do more to close the gap between national policy ambition and local delivery reality.”<\/p>\n

\"DataVita

DataVita boss Danny Quinn<\/strong><\/p><\/div>\n

In February,\u00a0a planned data centre in the South Gyle area of Edinburgh was rejected<\/a>, raising doubts about the fate of similar proposals going through the planning process elsewhere in Scotland. In its refusal, the City of Edinburgh Council cited environmental concerns surrounding the application, while campaigners criticised a prior decision not to require an Environmental Impact Assessment. Developer Shelborn Drummond\u2019s application will likely now go to a Scottish Government appeal, acting as something of a test case for other plans.<\/p>\n

Both Holyrood and Westminster backed the announcement in January<\/a> of Scotland\u2019s first AI Growth Zone in North Lanarkshire. With \u00a38bn of private investment and designed in partnership with Scottish firms DataVita and CoreWeave, the site is set to deliver more than 3,400 new jobs, including 800 AI and digital infrastructure roles.<\/p>\n

Danny Quinn, managing director at DataVita,\u00a0previously stated<\/a> that data centre design is evolving rapidly, noting that the AI Growth Zone will consume no fossil fuels and run on renewable energy at a fraction of the carbon intensity of facilities in other parts of the UK.<\/p>\n

“But technology alone isn\u2019t enough – genuine community engagement and long-term local investment have to be part of the conversation from the start, not bolted on later – when communities understand both the national importance and the local benefit, these projects can earn the support they need,” he added.<\/p>\n

\"Helen

Helen Munro, head of sustainability at Pulsant<\/strong><\/p><\/div>\n

Helen Munro is head of environment and sustainability at data centre and digital infrastructure platform Pulsant, which operates 14 data centres, from Edinburgh to Fareham and Manchester to Newcastle.<\/p>\n

She pointed out that these facilities underpin almost every growth sector of the UK economy – financial services, life sciences, advanced manufacturing, media, retail, logistics and the public sector – with demand accelerating as AI workloads, real\u2011time analytics and automation are increasing the need for ‘compute’. But Munro also noted that to meet this, the industry must work towards\u00a0an energy system plan that\u2019s clear on the forecast extent of development; including how and where compute capacity can be created to support system resilience.<\/p>\n

“It also depends on building genuine trust with communities,” she stated. “Until then, the only assurance that can be provided is by practical engineering measures – such as agreements to avoid water-intensive cooling systems in areas where that could be a problem.”<\/p>\n

Munro also explained that\u00a0there are different types of data centres – not all are hyperscalers – with Pulsant offering a distributed model that reuses existing buildings, minimising impact on power grids and communities, while its facilities are mostly closed loops, which significantly reduce or eliminate reliance on water. “Transparency is vital to build trust and underpin honest conversations about how we balance the demand for AI with its appetite for precious materials and energy,” she added.<\/p>\n

Hassell said that local authorities are being asked to assess nationally-critical digital infrastructure using planning frameworks and precedents designed for conventional industrial development, so his firm has invested in education sessions with officers and members long before a formal application is submitted, presenting detailed evidence on power, water, heat, noise, traffic and biodiversity.<\/p>\n

As for public perception, he takes the view that opposition rooted in misinformation is best countered with transparency. “That means open community consultations, clear explanations of where our power comes from, honest conversations about water use and cooling design, including the fact that modern liquid-cooled AI facilities can use materially less water per megawatt than older air-cooled designs, and a willingness to talk about jobs, skills and the wider economic contribution of a campus over its full operational life.”<\/p>\n

A leading tech sector body told TheBusinessDesk that its members are focused on building constructive, long-term relationships with the communities in which they operate.<\/p>\n

“Operators recognise that data centres are often large developments and that early, transparent engagement helps address concerns around issues like energy use, land use and local impact – as a result, the industry is putting greater emphasis on outreach, education and collaboration with residents, local authorities and community groups to ensure projects deliver shared value.<\/p>\n

“Engagement with government frequently centres on how to enable more effective community interaction – policymakers and the sector are exploring ways to support clearer communication, better consultation processes, and more consistent standards for community engagement.”<\/p>\n

\"The

The land at Skelton Grange where a new data centre scheme will be built<\/strong><\/p><\/div>\n

Just this week, a data centre led by Microsoft<\/span><\/span> at Skelton Grange was approved by Leeds City Council<\/a>. Harworth Group<\/span><\/span> said the planning committee resolved to grant consent for the hyperscale campus, which includes permission for three data centre halls and associated infrastructure.<\/p>\n

The decision moves forward the second phase of Harworth\u2019s transaction with Microsoft, agreed in 2024 for a total of 48 acres. The first phase completed in June last year for \u00a351.2m. A further 21 acres is set to be sold for \u00a353.2m, subject to planning and completion of enabling works. Planning submissions were previously impacted by delays linked to power supply and grid capacity.<\/p>\n

In February, plans for a \u00a3250m data centre were green-lit in Corsham<\/a>, despite more than 1,000 objections from local residents. The decision to give the go-ahead for Ark Data Centres\u2019 Spring Park Campus was originally delayed by Wiltshire Council after campaigners raised concerns about flooding at the site – along with worries over noise from cooling fans and the size of the building: 18.7 metres tall at its highest point and approximately 180 metres long.<\/p>\n

Adrian Foster, cabinet member for strategic planning, said the council recognised “the strength of feeling” over the proposal and the “significant number of objections” had been “carefully considered” during the decision-making process, with proper drainage at the site being one of the conditions of approval.<\/p>\n

Rob Silvester, chief revenue officer at Ark, responded: “We appreciate the strong feelings in the community, and we want to have a stronger collaborative relationship with our neighbours now that the decision has been made.”<\/p>\n

Battery storage<\/h2>\n

Earlier this year, the latest Deloitte\u00a0UK Energy Transition Investor Survey<\/em><\/a> showed that battery storage (82%) is the most attractive energy transition investment, ahead of supply-side solar (75%), onshore wind (61%), offshore wind (58%), green hydrogen (64%) and grid infrastructure (61%).<\/p>\n

Meanwhile, new research from Brodies – conducted among 100 UK\u2011based senior executives – found that\u00a075% plan to invest in UK battery storage in the next 24 months, while globally, storage ranks as the number one subsector for planned investment.<\/p>\n

The shipping container-sized groups of battery cells store surplus electricity in rechargeable batteries when demand is low and release it back into the grid when demand is high, helping to balance the network and make the most of increasing amounts of renewable energy coming online. However, many of the projects being proposed around the country are being rejected during the planning process, often due to concerns around being noisy, unsightly and a fire risk.<\/p>\n

The latter issue is mostly down to the two reported BESS fires in the UK. One took place in Liverpool during September 2020, when an \u00d8rsted-owned system caught fire during the night and burned for several hours. The facility had no permanent staff based at it and nobody on site at the time. One of four shipping containers containing the batteries exploded, with debris scattered over a range of 23 metres. The other took place during construction of a Statera system in Essex during February 2025, with one container affected.<\/p>\n

Lithium-ion battery cells are susceptible to ‘thermal runaway’, leading to rapid heat escalation, fire, release of flammable and toxic gasses, as well as the potential for re-ignition hours or days later. This is different to conventional fires and there is no guaranteed way to extinguish thermal runaway with fire strategies focussed on cooling, containment and prevention of escalation.<\/p>\n

In August 2023, the government issued guidance encouraging developers and planning authorities in England to consult local fire and rescue service when preparing or reviewing proposals for battery storage projects, as a precautionary measure to demonstrate best practice. While there is no standalone legislation dedicated solely to battery storage safety, there is a framework of applicable laws which cover product safety, fire safety and occupational health standards.<\/p>\n

In England and Wales, decisions on BESS – regardless of their capacity – are made by local planning authorities, while in Scotland and Northern Ireland, they require consent from either ministers or the planning authority, depending on their storage capacity.<\/p>\n

In March, the Scottish Government published guidance<\/a> setting out how the planning process can ensure developments are properly sited and well designed, while also summarising relevant regulatory requirements. At the time, public finance minister Ivan McKee said: “This new planning guidance will support all parties in the planning process \u2013 it recognises that BESS remains an evolving sector, with few currently operational sites and the potential for change of battery technologies likely in the future.<\/p>\n

“It encourages a proportionate and collaborative approach between applicants and decision-makers with a strong emphasis on appropriate site selection and effective pre-application engagement.”<\/p>\n

\"Tom

Tom Parsons, commercial director at Good Energy<\/strong><\/p><\/div>\n

Tom Parsons, commercial director at Good Energy – a national installer of commercial solar and batteries – said he’s seen a significant increase in demand over the past year, fuelled by government clean power ambitions and the latest Middle East crisis driving wholesale power costs up.<\/p>\n

“Solar remains more popular at the moment due to the faster payback – typically three to five years – and the clearer revenue streams, but we are seeing an increase in design requests for batteries, as organisations realise the value they have in improving renewables matching and lowering costs in the long term,” he said.<\/p>\n

“Planning has been updated so that authorities give ‘significant weight’ to renewable energy when making their approvals,” Parsons continued. “The GB Energy Local Power Plan has committed \u00a31bn to fund local clean energy, while batteries are being supported with new cap and floor contracts, giving owners more revenue certainty.<\/p>\n

“The GHG Scope 2 expected changes will create a honest picture for corporates helping them make more informed decisions about improving their carbon footprint.”<\/p>\n

\"Plans

Plans for a new battery storage system at Eccles<\/strong><\/p><\/div>\n

Earlier this week, Spanish developer Matrix Renewables signed a \u00a3245m funding package<\/a> to help complete a BESS it has started work on near Eccles in the Scottish Borders. The location is strategically placed on key transmission corridors with England, as well as how close it is to an expanded substation, but community councils have pushed back against the industrialisation of a previously rural landscape.<\/p>\n

Matrix said it worked with local authorities and environmental stakeholders to ensure that the project is developed in line with environmental, technical and community standards, and integrated responsibly within the local landscape. While community benefit packages are only usually advised for wind turbine developments, Matrix has also a signed a collaboration agreement with the Leitholm, Eccles and Birgham Community Council on local initiatives for residents.<\/p>\n

At the end of March, YLEM Group-backed battery storage specialist Root-Power received planning permission for a new site in Rochdale via delegated decision in under five months, with no outstanding objections from any statutory consultees.<\/p>\n

This followed the company securing a grid connection agreement for its BESS in Sleaford<\/a> – the sixth such scheme it has secured planning permission in as many months – with managing director Neil Brooks pointing out that without such connections the sites “simply cannot operate or go into construction, regardless of planning permission”.<\/p>\n

Root-Power is on track to deliver 13 BESS’ across the UK, after another\u00a0in Kegworth was approved in January<\/a>, following an appeal over flood risk concerns.<\/p>\n

\"What

What Root-Power’s planned site at Ellen Road should look like once complete<\/strong><\/p><\/div>\n

Elsewhere in England, a court dismissed Walsall Council\u2019s legal challenge<\/a> over plans to allow a BESS to be built on greenbelt land in Great Barr.<\/p>\n

Following a public inquiry in November 2024, the application from Anseco was approved by the planning inspectorate in February 2025, after the scheme was originally refused by the council over fire safety risks, loss of land, noise and industrial appearance. This prompted the authority to serve the formal challenge to the government the following month, but the court then dismissed the council\u2019s case in September.<\/p>\n

At the 2024 inquiry, a spokesperson for Anesco told the inspector that the development would cause only \u2018reversible, low levels of harm\u2019 to the Great Barr Conservation Area and that Walsall Council \u2018consistently overstated\u2019 the risks associated with the development.<\/p>\n

And earlier this month, Birmingham City Council\u2019s planning committee was reviewing plans for a BESS in Sutton Coldfield<\/a>, which is expected to gain approval, subject to Section 106 agreements. While local authority officers and statutory consultees have broadly supported the scheme, subject to conditions, it has faced criticism. The Lead Local Flood Authority raised concerns over insufficient evidence for drainage and downstream flow capacity, requiring proof of legal rights to discharge and detailed network modelling, while public objections cited fire safety, water supply adequacy, environmental risks and proximity to residential areas.<\/p>\n

The applicant, Wiggins Hill BESS, offered a “comprehensive package” of technical and safety measures to mitigate risks, including fencing, lighting and CCTV, and will restore the site after 40 years of operation.<\/p>\n

Although the construction time for BESS is relatively fast – with many being completed in six to 12 months due to their modular design – the development and planning phase can take a year or more due to the need for site selection and feasibility studies, securing both planning permission and a grid connection, as well as noise and environmental impact assessments, especially when construction is near residential areas. As part of this process, planning authorities often impose conditions relating to visual screening – planting trees and erecting fencing – the colour and height of enclosures, and lighting control.<\/p>\n

Meanwhile, obtaining planning permission for a grid connection can be as challenging as getting the BESS granted, unless it is possible to use public highways where New Roads and Street Works Act 1991 powers can be used for the connection.<\/p>\n

Sarah Fitzpatrick, the new UK head of planning at Shoosmiths, cited a BESS proposal at Allerton Bywater which received more than 900 objections, including over greenbelt harm, fire safety and the availability of alternative sites. The application was withdrawn following deferral and Leeds City Council\u2019s request for further information.\u00a0<\/span><\/p>\n

\"Sarah

Sarah Fitzpatrick, UK head of planning at Shoosmith<\/strong>\u00a0<\/span><\/p><\/div>\n

The tide does seem to be turning though, through a combination of better applications and pressure from national authorities.<\/p>\n

“Given the fact that BESS are an essential component in providing energy security as part of a low carbon future, local planning authorities are generally giving significant weight to those considerations as part of their planning balance in determining planning applications,” said Fitzpatrick. “Although there are no BESS specific policies in the National Planning Policy Framework, there are NPPF policies supporting renewable and low-carbon energy, grid resilience and climate change mitigation, which can be relied upon to justify BESS proposals.<\/p>\n

“Most local planning authorities (LPAs) do not have specific local plan policies relating to BESS though, so there can be different and conflicting approaches by LPAs,” she added, noting that changes made during\u00a0the course of an application to address the LPA concerns mean many schemes are granted on appeal.<\/p>\n

Digging into the regulation and legislation working for and against developments, one big changes came in the Infrastructure Planning (Electricity Storage Facilities) Order 2020, which removed BESS’ from the Planning Act 2008 NSIP regime, meaning they are now determined by LPAs, regardless of megawatt capacity, reducing the consenting time, cost and complexity for BESS’.<\/p>\n

Fitzpatrick also referenced that 2025<\/span> decision – Walsall Metropolitan Borough Council v Secretary of State and Anesco – in which the High Court upheld an inspector\u2019s decision to grant planning permission for a BESS in the greenbelt, confirming that the inspector was entitled to attach significant weight to the role of BESS in energy security, supporting net zero targets and providing grid resilience.<\/p>\n

“The inspector had been entitled to come to the conclusion that these matters amounted to very special circumstances that outweighed the in-principle greenbelt objection to the project,” she explained. “The decision is important because it confirms the legal robustness of permitting BESS in the greenbelt, endorses the strong reliance on the national energy need, supports the use of conditions for managing noise and fire safety, and raises the bar for LPAs seeking to overturn BESS appeal decisions.”<\/p>\n

Finally, while BESS’ are not deemed critical national infrastructure like data centres, the projects are treated as de facto critical infrastructure in planning decisions – particularly due to the Walsall case – as well as being deemed “essential” to the energy transition and achieving net zero by 2050 in the UK Government\u2019s battery strategy, published in 2023.<\/p>\n","protected":false},"excerpt":{"rendered":"

Operators are coming up against concerned locals and critical councillors when trying to build critical infrastructure<\/p>\n","protected":false},"author":278857,"featured_media":3691,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[137137,136545,120780,50204],"coauthors":[137126],"class_list":["post-3680","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-analysis","category-local-government","category-sustainability","category-technology","tag-featured-story","tag-national","tag-top-story"],"yoast_head":"\nData centre and battery storage developers struggle to overcome opposition<\/title>\n<meta name=\"description\" content=\"Developers are coming up against concerned locals and critical councillors when trying to build critical infrastructure.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" 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