Governor Spanberger signs executive order on data center accountability, creates AI task force

Governor Abigail Spanberger of Virginia signed Executive Order 22 on Friday, implementing her new Data Center Accountability Framework. The Governor's Office described this as the "most comprehensive and aggressive data center accountability effort in the country," designed to provide communities with transparent information and a voice in local approval processes.

The framework aims to protect Virginians from higher energy bills, enforce stringent environmental standards for data centers regarding energy efficiency, water use, land impacts, and backup generation. Key provisions include banning non-disclosure agreements for commercial data center projects, eliminating by-right approval for large facilities (over 25 megawatts), and empowering communities to negotiate stronger agreements. It also ends state subsidies for data centers in site development programs and removes future large data centers from Virginia's fast-track permitting process.

Regarding environmental and energy concerns, the order mandates evaluating cumulative impacts of diesel backup generators, moving to cleaner backup power, setting clear water-use standards, and expediting new state noise regulations. It also requires utilities to allocate a more equitable share of electric transmission and generation costs to data centers and other large load customers. Additionally, the order strengthens grid reliability by requiring data centers to meet standards that prevent demand-driven instability, limits on-site natural gas generation, and prioritizes grid access for facilities investing in clean energy.

Executive Order 22 also created Virginia's new AI Task Force, which will focus on addressing risks posed by the rapid development of artificial intelligence, including workforce displacement, data privacy, and cybersecurity.