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Finland orders Google to halt data center work after forest clearing

Finland orders Google to halt data center work after forest clearing

Built World

Finnish police have opened a criminal investigation into Google's Tuike Finland over suspected water-law breaches at the Muhos data center site, a case expected to run into 2027.

Overview

Updated Oct 24

Finnish police have opened a criminal investigation into Google's subsidiary Tuike Finland over suspected breaches of the country's Water Act at the Muhos data center site. Officers are examining drainage and water management at the site, where about 330 hectares of forest were cleared before the required environmental review was finished. A guilty finding could lead to a corporate fine.

Google says it will cooperate with the investigation and focus on keeping its sites compliant. The regulator, LVV, had given the company until November 5 to submit a detailed water-management plan. Police plan an update in December and expect the investigation to run into 2027.

Why it matters

A criminal probe into water-law breaches will test whether Finland can enforce its environmental rules against Europe's largest AI build-out.

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Key Indicators

330
Hectares of forest felled at Muhos
Reported by Tuike Finland to the LVV as felled or prepared at the Muhos site.
200
Hectares prepared at Kajaani-Otanmäki
Area reported cleared or prepared at the second site, just under 200 hectares.
€13B
Google's planned investment in Finland
Announced September 2026 as the company's biggest single investment in Europe, with a third site planned in Vaala.
1,400
Hectares of forest sold to Google
Metsähallitus, the state forest enterprise, sold the mostly commercial forest at Muhos and Kajaani for over €27 million.
Nov 5
Deadline for Google's water-management plan
The deadline has passed. LVV had said a conditional fine was possible if Google did not act.
2027
Expected end of police investigation
Police say they will give an update in December and expect the criminal investigation to run into 2027.

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People Involved

Organizations Involved

TF
Tuike Finland Oy
Google's project subsidiary
Under criminal investigation by Finnish police over suspected water-law breaches at Muhos; work remains suspended.

Google's Finnish subsidiary owns the two data center plots and carried out the forest clearing.

LV
Finnish Licensing and Supervisory Authority (LVV)
National Regulatory Agency
Referred the Muhos site to police, who opened a criminal investigation on October 29; set a November 5 deadline for a water-management plan.

Finland's regulator, known by its Finnish acronym LVV, oversees environmental impact assessments and licensing.

Metsähallitus
Metsähallitus
State Forest Enterprise
Sold the land to Google

Finland's state forest enterprise sold Google 1,400 hectares of mostly commercial forest.

Ramboll
Ramboll
Consulting and Engineering Firm
Advised Tuike on the EIA question

Finnish engineering consultancy that argued the EIA provision did not apply to the forest clearing.

Google
Google
Technology company
Says it will cooperate with the police investigation and focus on compliance at its sites.

Google is the parent company of Tuike Finland, which is developing the Muhos and Kajaani data centers.

Stora Enso
Stora Enso
Forestry company
Says it received about 5,000 cubic metres of wood from the disputed sites; investigating

Finnish forestry company that took timber from Google's disputed felling sites at Muhos.

OP
Oulu Police Department
Police department
Investigating Tuike Finland over suspected water-law breaches at the Muhos site

The regional police department leading the criminal investigation into Google's Finnish subsidiary.

Timeline

2024 October 2026

24 events Latest: October 29th, 2026 · 1 week ago Showing 8 of 24
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  1. Stora Enso admits taking timber from Google sites

    Disclosure

    Stora Enso says its Oulu unit received about 5,000 cubic metres of log and pulp wood from the disputed Muhos felling, after earlier denying any link. UPM and Metsä Group had already suspended deliveries of small volumes received through contractors.

  2. Suspension deadline

    Compliance Deadline

    Latest date by which suspension of major site work must be in effect at both locations.

  3. LVV sets November 5 water-plan deadline

    Regulatory Decision

    LVV gives Google until November 5 to submit structures, their locations, a construction timetable and independent water monitoring. It says drainage may need a permit under the Water Act because black shale deposits could raise acidity and metal levels, and raises the prospect of a conditional fine.

  4. Tuike response deadline

    Compliance Deadline

    Tuike Finland submitted its written response on October 11, before the deadline, confirming work had stopped and requesting written pre-approval for any necessary stabilisation work.

  5. Muhos building inspector granted leave

    Personnel

    Muhos's leading building inspector Jultuz Änwär was granted leave of absence, Helsingin Sanomat reported, as questions mounted about how the clearing proceeded with municipal approval.

  6. Google Finland chief apologises

    Statement

    Antti Järvinen apologised for the forest clearances at Muhos and Kajaani, saying Google had acted to the best of its understanding of the law and had not rushed the work ahead of environmental assessment.

  7. Google submits response to LVV

    Compliance

    Tuike Finland submitted its written response to the LVV, confirming work had stopped and saying it would seek written pre-approval for any necessary stabilisation work. Google said it would complete the environmental assessments within six weeks for Kajaani and ten weeks for Muhos.

  8. Minister says no sanction for clearing under current law

    Government

    Environment and Climate Minister Sari Multala said current environmental impact assessment law does not directly allow sanctions for the clearings. Parliament is considering legislation to tighten environmental licensing penalties.

  9. LVV orders halt to major site work

    Regulatory Decision

    Regulator orders Tuike to stop felling, digging and quarrying; The Guardian reports the story same day.

  10. Logging continues despite ruling

    Violation Allegation

    Satellite data shows clearing continued until August, after the LVV's May decision.

  11. Muhos building control says section 109 works are possible

    Permitting

    Despite the LVV's May 18 warning, Muhos building control determines that the section 109 groundwork can proceed. Declic Media notes the EIA law governs when, not whether, such works are authorized.

  12. Regulator rules EIA is mandatory

    Regulatory Decision

    LVV says the projects fall directly under the EIA requirement in item 2(f) of the law.

  13. LVV warns Muhos no permit may precede EIA conclusion

    Regulatory Decision

    The LVV tells Muhos building control that no permit for the works should be granted before the environmental impact assessment concludes.

  14. Kajaani building permit application cites groundwork plan

    Permitting

    Tuike's building permit application for the Kajaani-Otanmäki site discloses preparatory works under section 109 of the Land Use and Building Act.

  15. Tuike asks whether review is needed

    Compliance Question

    Tuike Finland asks the LVV whether an environmental impact assessment is required for the sites.

  16. Tuike applies to Muhos for earthworks permit

    Permitting

    Tuike Finland files for a maisematyölupa (landscape work permit) with Muhos municipality, before the EIA is complete.

  17. Clearing begins at Muhos

    Construction

    Logging and topsoil removal start at the planned Muhos data center site.

  18. State forest sale to Google

    Transaction

    Metsähallitus sells 1,400 hectares of forest at Muhos and Kajaani for over €27 million.

Scenarios

1

Google complies, projects proceed after review

Likely Resolves by End of 2026

Discussed by: Yle, TechTarget; the LVV framed its order as a temporary, limited halt

Tuike Finland complies by the October 23 deadline, limited work such as planning and soil surveys continues, and the environmental impact assessments conclude in late 2026. The LVV lifts the suspension for one or both sites, and construction proceeds, possibly with conditions such as the 130 hectares of tree planting Google already proposed at Muhos.

2

LVV imposes fines for non-compliance

Possible Resolves by Jan 31, 2027

Discussed by: TechTarget; LVV said it would seek formal enforcement backed by a conditional fine

Tuike Finland fails to stop major site work by October 23. The LVV moves from voluntary compliance to a formal enforcement procedure, likely imposing a conditional fine that escalates until the work stops. This would test whether Google absorbs the cost or halts voluntarily.

3

Police bring charges over Muhos clearing

Possible Resolves by Q2 2027

Discussed by: Yle and Iltalehti reporting on the preliminary investigation

The preliminary inquiry opened on October 2 finds sufficient evidence of a crime in the preparatory work at Muhos, and public prosecutors open a pre-trial investigation or file charges. A conviction could carry fines or other penalties, separate from the LVV's administrative action.

4

Google cancels or relocates one or both sites

Unlikely Resolves by End of 2027

Discussed by: Futurism and TechSpot coverage raising project-risk questions

The environmental review or the legal fallout makes one or both sites untenable, and Google abandons or moves the projects. The LVV's order does not cancel either project, and Google's 13 billion euro commitment argues against a retreat, but a worst-case EIA outcome or sustained legal pressure could change the calculus.

5

Sites stay idle into spring as EIA runs long

Possible Resolves by Q1 2027

Discussed by: Lapin Kansa

The LVV holds to its requirement that the environmental impact assessment be complete before work resumes. Google's own estimate is six weeks for Kajaani and ten weeks for Muhos, but if the assessment runs longer or the LVV demands more, the sites could stay idle into spring. Google has said it may need to do stabilisation work in the meantime, with written pre-approval.

Historical Context

2 moments from history that rhyme with this story — and how they unfolded.

2024-2025

Google Chile data center water ruling (2024)

Chilean courts ordered Google to suspend operations at its data center in drought-prone Santiago over its water use. The company drew water under permits that authorities and courts found did not match actual consumption during a severe drought.

Then

Google suspended or scaled the facility's water use and appealed; the case became a flashpoint in Chile's water politics.

Now

It established that data center infrastructure in resource-stressed regions can face court-enforced environmental limits.

Why this matters now

Like the Finnish case, it shows Google's data center build-out colliding with local environmental regulation, where a government body halts operations over compliance.

2022-2028

Ireland data center grid moratorium (2022)

Ireland's grid operator, EirGrid, paused new data center connections in Dublin until 2028 because data centers consumed nearly a fifth of national electricity, straining the grid.

Then

New data center connections in Dublin were refused; developers shifted to other Irish regions.

Now

The moratorium set a European precedent for regulators limiting data center growth on infrastructure and environmental grounds.

Why this matters now

It parallels how Finland's regulator is using its own permitting system to control where and how data centers are built, tying big tech expansion to local capacity and environmental review.

Sources

(29)