Montgomery County puts 18 month pause on new data centers
Montgomery County, Maryland, has unanimously approved an 18-month moratorium on new data center permits. This pause will allow the council to establish new regulations and address community concerns regarding environmental impacts, water usage from the Potomac River, and electricity costs. The council aims to develop comprehensive guidelines to ensure responsible data center growth.
The Montgomery County Council in Maryland has unanimously enacted an 18-month moratorium on new permits for data centers. This decision was made to allow the council to work with the community to establish comprehensive rules and guardrails for data center development, addressing concerns that have arisen as other jurisdictions have experienced uncontrolled growth.
During this pause, the council intends to address critical questions from the community, including the impact of data centers on the Potomac River's water supply, the potential rise in utility bill costs for ratepayers, and broader environmental concerns associated with hyperscale data centers. Council members emphasized the importance of getting these regulations right, noting that once built, the environmental and economic impacts are difficult to reverse.
The moratorium will not affect existing data centers, with council members explicitly stating that the goal is not to shut down current operations. Instead, the focus is on preventing future uncontrolled expansion and ensuring that new developments adhere to responsible environmental and economic standards.