Google data centres raise concern in Finland's Muhos

Google's planned data centres are bringing expectations of jobs and investment to the northern Finnish town of Muhos, while also raising concern over energy use and forest clearance.

The projects are part of Google's announced 13-billion-euro investment in Finland over the next two years. The company's expansion plans include Kajaani, Muhos and Vaala, as well as Hamina, where it already operates a data centre.

In Muhos, land acquired by Google has been cleared of forest, with excavators and trucks working near major power lines. Farmer Joni Pitkanen, who lives a few kilometres from the site, said he was broadly positive about the project but was concerned about how the municipality would prepare for its energy consumption.

Muhos mayor Kimmo Hinno said the investment would change the municipality and the wider Oulu region. He said he expected thousands of construction workers of different nationalities, creating demand for housing and services.

The plans have also drawn scrutiny. Finland's Supervisory Agency is investigating whether Tuike Finland, which represents Google, cleared more than 300 hectares of forest in Muhos without a mandatory environmental impact assessment.

Hanna Halmeenpaa, chair of the board of the Finnish Association for Nature Conservation, said work at the site should be suspended until compliance with the law is clarified. She said satellite images showed that nature sites that should be preserved had been logged.

Google said tree felling had complied with Forestry Act requirements and that it was awaiting further guidance from the Supervisory Agency. Sondre Ronander, Google's communications manager in Finland, said the company had carried out nature surveys as part of zoning and environmental impact assessment processes.

Finland has attracted data centre investment because of its cool climate and relatively stable, lower-cost electricity, much of it produced without fossil fuels through nuclear, wind and hydro power. Prime Minister Petteri Orpo's government has prioritised attracting such investments as Finland faces record-high unemployment and slow economic growth.

Public debate has grown over energy prices, grid capacity and environmental effects as more data centres are built or planned. A citizens' initiative calling for stricter regulation of data centre energy use and environmental consequences gathered more than 50,000 signatures in three days, meaning it must be reviewed by parliament.