Healey signs order setting new requirements for Massachusetts data centers
Governor Maura Healey signed an executive order in Massachusetts, requiring new data centers to obtain local approval and community benefits agreements before state permits. The order also mandates existing data centers to meet new energy, water, and community engagement standards, and establishes a ratepayer protection fund to manage energy costs.
Governor Maura Healey signed an executive order on Tuesday, establishing new requirements for data centers in Massachusetts. The order mandates that all new data centers must obtain local approval and a community benefits agreement from their host city or town before they can apply for state permits. This change is intended to ensure local communities have a greater say in data center development.
The executive order also stipulates that existing data centers must adhere to new energy, water, and community engagement standards. Governor Healey explained that these measures are necessary to prevent data centers from consuming excessive energy that could strain the grid, raise electricity rates for businesses and residents, and ultimately harm local communities. To address these concerns, the order includes a Rate Payer Protection Fund, which will require data centers to return money to customers if electricity costs are not fully covered by the company.