Maine lawmakers approve first-in-nation ban on data centers - Portland Press Herald

Maine lawmakers approve first-in-nation ban on data centers - Portland Press Herald

News ClipMaine Sunday Telegram·ME·4/14/2026

The Maine Legislature has passed a bill, LD 307, that would enact a temporary statewide moratorium on new data center development with electric loads of 20 megawatts or more until November 2027. The bill, which also creates a Data Center Coordination Council to study impacts and propose policies, now heads to Gov. Janet Mills for her signature, despite her concerns about the lack of an exception for a proposed data center in Jay. Opponents argue the ban will hinder economic development and job creation, while proponents cite concerns over electricity costs and water usage.

moratoriumgovernmentelectricitywateroppositionzoning
Gov: Maine Legislature, Gov. Janet Mills, House, Senate, Data Center Coordination Council, Public Utilities Commission, U.S. Department of Energy, Rep. Steven Foster, Rep. Melanie Sachs, Department of Energy Resources, Wabanaki Alliance, Maine's electrical utilities, Department of Economic and Community Development, taxation committee
The Maine Legislature has approved a controversial bill, LD 307, that establishes a temporary statewide moratorium on new data center development for more than a year. The measure, passed by the House (79-62) and Senate (21-13), now awaits Governor Janet Mills' signature. It specifically prohibits state, local governments, and quasi-governmental agencies from issuing permits or approvals for data centers with electric loads of at least 20 megawatts until November 2027. Included in the bill is the creation of a Data Center Coordination Council, funded by the Public Utilities Commission, tasked with studying the potential impacts of data centers in Maine and issuing policy recommendations by February 2027. If signed into law, this bill could mark the country's first statewide ban on data center development, though some municipalities like Bangor have enacted local bans. Governor Mills has expressed reservations about the bill, particularly its failure to include a carveout for a data center proposal in Jay. Tony McDonald, the developer behind the 82-megawatt Jay project, fears the temporary ban would effectively kill his plans, despite having initial construction permits. Opponents of the ban, including Rep. Steven Foster, R-Dexter, argue it will undermine economic development, particularly in former mill towns. Conversely, proponents like bill sponsor Rep. Melanie Sachs, D-Freeport, view it as a necessary "pragmatic pause" to address concerns about rising electricity costs and massive water consumption by data centers. Additionally, the Legislature sent a second data center-related bill, LD 713, to Governor Mills. Sponsored by Rep. Kristen Cloutier, D-Lewiston, this bill would prevent new data centers from receiving certain state tax incentives and business benefits after July, and mandates a study on potential financial incentives data centers currently benefit from.