The data center boom meets resistance in Maine as lawmakers pass a yearlong freeze | National News | mdjonline.com

Maine's legislature has approved a bill imposing the nation's first statewide moratorium on large, energy-intensive data centers, sending the measure to Governor Janet Mills for her signature. The legislation would institute a moratorium for more than a year on data centers above a certain size and create a special council to assist towns in vetting potential projects. The move comes amid growing political opposition to massive artificial intelligence data centers, driven by fears of blackouts, rising energy bills, and extensive water consumption. Democratic Rep. Melanie Sachs, who sponsored the measure, emphasized that the tradeoffs of data centers have not been shown to benefit Maine's ratepayers, water usage, or community economic activity. While Maine is not a primary destination for hyperscale data centers, a couple of local proposals sparked intense community backlash, accelerating the bill's passage. Analysts and industry representatives, such as Dan Diorio of the Data Center Coalition, expressed concerns that the moratorium could deter developers, deprive the state of economic development, and hinder local skill-building in construction. Montana Towers from the Maine Policy Institute characterized some concerns as "luddite in nature." However, supporters like Joe Oliva of the Maine Broadband Coalition and GrowSmart Maine highlight the need for greater community input and transparency in development. This legislative action in Maine mirrors a broader trend of increasing opposition at local levels nationwide, which is now impacting state legislatures. Similar moratorium proposals have been introduced in at least a dozen other states, though none have passed a legislative chamber besides Maine's. Other states are exploring alternative regulations for water and energy use. Examples include a citizen-led ballot initiative in Ohio to ban hyperscale data centers and a failed moratorium bill in South Dakota.