New Hampshire bill limiting local data center regulation fails in House
New Hampshire's Senate Bill 439, which sought to limit local regulation of data centers by treating them as any other business in commercial/industrial zones, was tabled in the House, effectively killing it for the legislative session. The bill's failure means local governments retain more control over data center development, which critics argue consume vast amounts of electricity and water while creating few jobs. The legislative action comes amidst growing concerns about data centers' impact on energy grids and natural resources.
Senate Bill 439, a controversial piece of legislation aimed at limiting local government's ability to regulate data centers in New Hampshire, was tabled in the House, effectively ending its progress for the current session. The bill, in its amended form co-sponsored by Rep. Diane Pauer, R-Brookline, and Rep. Keith Ammon, R-New Boston, would have required municipalities to treat data centers as any other permitted business in commercial and industrial zones, preventing more stringent restrictions. This was a reversal of the original intent from Sen. Debra Altschiller, D-Stratham, and Rep. Hope Damon, D-Croydon, who sought to authorize local regulation based on environmental and aesthetic concerns.
Opponents of the bill, including some Republicans who ultimately moved to table it, argued that large data centers consume immense amounts of electricity and water, generate significant noise, and create few permanent jobs. The article highlights concerns about the strain on the electric grid, citing a PJM power market study that attributed a 75 percent spike in wholesale electric prices to data center growth. New Hampshire lawmakers have also previously explored solutions like small nuclear generating plants to meet future electricity demands.
While a moratorium on data centers gained bipartisan support in Maine before being vetoed, New Hampshire's SB 439's tabling reflected a bipartisan effort to prevent the state from overriding local control. Governor Kelly Ayotte also voiced opposition to large data centers, citing their potential to "skyrocket energy costs." The bill's failure means local communities in New Hampshire retain their existing regulatory powers over data center development.