Maine lawmakers consider moratorium on large data centers

Maine lawmakers are currently considering groundbreaking legislation that would impose a temporary, one-year moratorium on the development of large data centers across the state. The bill, under review in Augusta, aims to provide time to assess the environmental impact and strain on Maine's electrical grid, issues that have made large data centers increasingly controversial. If enacted, Maine would be the first state to implement such a statewide ban, a move experts believe other East Coast and Midwest states may follow. Tony McDonald, a developer behind a proposed data center in Jay that plans to repurpose a former paper mill, voiced strong opposition to the bill. McDonald stated his July construction start date would be jeopardized, and his project, which he argues would use less energy and water than the previous mill, would be "dead" if the moratorium passes. The proposed ban would exempt smaller data centers and those using less electricity. Anirban Basu, chief economist for the Associated Builders and Contractors, highlighted Maine's already high electricity rates and noted the potential for large data centers to further drive up energy costs. The bill's fate now rests with the Maine House and Senate, where it still awaits a vote. Governor Janet Mills has been asked for her stance on the legislation, with CBS13 awaiting her response.