Maine Lawmakers Pass the First Statewide Ban on Large Data Centers

Maine lawmakers passed the nation’s first statewide ban on large data centers Tuesday in what they say is an attempt to buy time and study how the power-hungry facilities affect the electrical grid.

The bill, passed by both chambers of the Maine legislature on Tuesday, would enact an

18-month moratorium on new data centers harnessing more than 20 megawatts of power – enough to power more than 16,000 homes – to give a task force time to study risks and benefits.

Maine state Rep. Melanie Sachs, who sponsored the bill, said on Facebook that the measure “is a thoughtful, proactive step to make sure our regulatory framework is in place. Maine people deserve no less.”

The bill now heads for a signature or veto by Gov. Janet Mills, who had pushed for an amendment that would allow for a small data center in the town of Jay; town officials encouraged Mills to veto the bill if no amendments were made.

“I’ve said it before and I’ll say it again, there needs to be a carveout for Jay. Jay needs those jobs, with appropriate guardrails for conserving water resources, electricity resources,” Mills said April 10.

While state lawmakers debated adding exceptions to the bill that could have aided data center projects such as the one in Jay, they ultimately rejected those amendments.

The Bangor City Council has also stepped in to pause data centers, passing its own measure that bans data centers for six months.

Several other states and cities are also considering legislation on data centers to handle the rapid growth of artificial intelligence and its impacts.

On April 8, Port Washington, Wisconsin, was the first city to pass an anti-data center referendum, which requires city leaders to get voter approval before awarding tax incentives to data center developers.

Nationally, progressive Democrats are pushing a moratorium on the construction of new AI data centers. The bill faces a bipartisan pushback, with elected officials from both parties arguing the United States must remain in the technological lead.

When a data center opened in Abilene, Texas, in September, Sen. Ted Cruz said, “Texas is leading the way to make sure the United States beats China in the AI race. This is the beginning of a long-term effort to invest in American jobs, supply the additional power needed for AI, and deliver products and services that will benefit all Americans.”