Buncombe planners propose countywide ban on cryptocurrency mining, add rules for data centers

Buncombe County planning staff on Thursday proposed a text amendment that would prohibit cryptocurrency mining operations in all zoning districts while establishing permitting standards for non-cryptocurrency data centers.

Jillian (planning staff) told the Planning Board the update would add explicit definitions for "cryptocurrency mining operations" and "data centers," add government protective services to the permitted-use table across all zoning districts, and allow data centers as-of-right in CS, EMP, PS and AI districts with special requirements. "Add cryptocurrency mining to permitted use table and prohibit it in all zoning districts," she said, describing the staff recommendation.

Staff argued the distinction is necessary because cryptocurrency mining facilities are typically large, energy-intensive and generate constant noise, while conventional data centers support commerce and government functions with much smaller, denser footprints. "We operate two data centers in the county currently," said Vance Bell of the county IT department, explaining the county's facilities are far smaller due to virtualization.

The staff proposal would require applicants for data centers to provide a sound study, facility-enclosure plans or other mitigation, a certificate showing compliance with decibel limits, setbacks from residential properties, screening and limits on generator operating hours. Pennington said staff intends to bring the text amendment to a public hearing on Sept. 16; the board agreed to consider the item at that session.