Temporarily banning data centers draws more interest from state, local officials

As communities' concerns grow over rising electricity prices and the environmental effects of data centers, some local and state officials want to halt development of the facilities. Lawmakers in at least 11 states have introduced legislation this session that would temporarily ban data centers, according to the watchdog group Good Jobs First. While some of the measures would establish an indefinite moratorium, others would ban new data centers for several years. The Vermont measure, for example, would ban new data center projects through July 2030. The New Hampshire, New York, Oklahoma and Vermont bills would also require state agencies to study the impacts of data centers on local economies and the environment. Over the past month, state lawmakers in Pennsylvania and Minnesota have also announced plans to introduce moratoriums on data center development. While no states have successfully enacted a moratorium, several cities and counties have banned new data center projects over the past year, including St. Charles, Missouri, Fulton County, Indiana, and DeKalb County, Georgia. However, proposals to ban data centers have fizzled out in other local communities, such as Hood County, Texas, after state officials threatened legal action. Beyond moratoriums, state and local leaders are hoping to pass data center regulations to protect consumers from rising utility bills and prevent states from losing millions of dollars through tax breaks.