PORT-OF-SPAIN, Trinidad — Trinidad and Tobago signed memorandums of understanding with two U.S. companies that set the stage for groundwork on large-scale data centers in the twin-island nation, officials said Friday. The agreements — with Florida-based Hummingbird AI Holdings and New York-based Ernst and Young LLP — propose facilities of 150 megawatts and 300 megawatts, respectively.
What the deals cover
The memorandum with Ernst and Young lays out a framework for collaboration to develop a 300 MW data center, with the company indicating plans to "partner with third parties in the development" of the project. The agreement with Hummingbird AI Holdings outlines preliminary cooperation, due diligence and coordination for a proposed 150 MW AI infrastructure and data center facility. In industry terms, the megawatt figures describe the electrical power capacity the centers could draw at peak load.
“The government is ‘trying to present something which looks like development, but which is not development,’” said social activist Dr. Wayne Kublalsingh, expressing concern about the projects’ energy consumption.
Energy and water implications
Observers and residents raised immediate questions about the potential strain on local energy and water systems. The source notes that data centers globally could account for nearly 3% of projected world electricity use by 2030, equivalent to about 935 trillion watt-hours in that projection. Locally, critics pointed to chronic water shortages and intermittent supply in Trinidad and Tobago as a specific vulnerability: many households rely on water tanks because tap deliveries can be as infrequent as once per week, and some communities have experienced multiweek outages.
- Project scales: 150 MW (Hummingbird AI proposal); 300 MW (Ernst & Young framework).
- Local concern: potential increase in electricity demand and water use amid existing shortages.
- First in region: These memorandums are the first such agreements involving large U.S. data center plans with a Caribbean country.
How households and businesses could be affected
Large data centers require sustained and high-power electricity supply, and many also use significant water for cooling systems. In a country where residential water deliveries are scheduled and many homes depend on storage tanks, any added pressure on utilities could translate into tougher rationing for households and operational challenges for local businesses that rely on steady water and power. The memorandums do not yet describe finalized locations, timelines or grid upgrades, and they record only frameworks for further planning and partnerships.
| Proposed capacity | Equivalent (watts) | Notes |
|---|---|---|
| 150 MW | 150,000,000 watts | Hummingbird AI infrastructure and data center proposal |
| 300 MW | 300,000,000 watts | Ernst & Young framework to partner with third parties |
The agreements mark an early stage of commercial interest rather than a completed build-out. Next steps would typically include site selection, environmental assessments, grid impact studies, and specific water-use plans. For government officials and regulators, balancing the attractiveness of foreign investment and potential job creation with the practical demands on electricity generation and water availability will determine whether the projects proceed and under what conditions.
Implication for policy: The deals underscore a growing global tension: the digital economy’s appetite for power and cooling versus the limits of local infrastructure and natural resources. How Trinidad and Tobago manages permitting, utility upgrades and environmental safeguards will influence whether the projects become a new engine of development or a source of community and environmental strain.
