Data centers are spreading across the US. Now the same is happening with data center bans

The Data Center Coalition, a trade group representing large technology companies and data center developers, argues that the sector “provides significant benefits to states and local communities.”

Maine Representative Melanie Sachs of the Democratic Party thought her state was one of the few places in the country where data centers were not interested in establishing themselves. The northeasternmost state in the US — known for its rocky coastline, lobsters and LL Bean boots — isn’t exactly Silicon Valley.

So when he introduced a bill earlier this year to impose a temporary ban on the construction of new large data centers, he thought it wouldn’t make much of an impact. It was only at that time that he became aware of two data center projects already proposed in different communities in Maine.

“As soon as I introduced the bill, they started coming from everywhere,” says Sachs. “The communities knew absolutely nothing about it. In rural communities, whether in Maine or elsewhere, there is no local permitting for these types of projects.”

In the coming weeks, Maine could be the first state in the country to pass a temporary moratorium on new data centers — giving it time to study how they might affect jobs and the local economy. Similar temporary bans are being proposed in both heavily Republican and Democratic states, including New York, South Carolina, Oklahoma and Vermont. And there are dozens of local bans at the county and municipal level, often in response to the arrival of a new data center in a community.

Their supporters claim that these bills are a response to a sector that has evolved at an impressive pace and in secret, offering few opportunities for meaningful public participation.

“It’s really a nonpartisan issue, and I think a lot of that is simply because of how quickly things have changed in the last few years,” says South Carolina Rep. Steven Long, a Republican who co-sponsored a moratorium proposal in his state. “Public policies have not been able to keep up with this evolution.”

Growing opposition to data centers

As big tech companies and the Trump administration advance an aggressive strategy to make the U.S. a leader in artificial intelligence, the massive “hyperscale” data centers needed to operate these technologies have proliferated. There are more than 4,000 data centers across the United States, according to . Virginia has the largest cluster of data centers in the world, with a proliferation of these infrastructures in Texas and California.

As data centers expand their presence, a wave of local opposition is emerging.

The Data Center Coalition, a trade group that represents large technology companies and data center developers, argues in a statement that the sector “provides significant benefits to states and local communities” in the form of local jobs, investment and tax revenue.

The Maine bill was bipartisan — it passed the Democratic-controlled House with six Republican votes in favor. The state Senate has not yet voted on the project; Maine Governor Janet Mills has indicated she will support it if it is approved by the legislature. One pending question is whether lawmakers will create an exception to the ban for existing data centers — an amendment to that effect has not passed the House. Without it, these centers may not move forward.

The bill would keep the ban in place until the end of 2027 — long enough, Sachs hopes, for state energy and environmental regulators to write rules for large data centers, which need enormous amounts of energy to power artificial intelligence and other computer applications.

However, such a ban could disincentivize future development and “send a signal that the state is closed for business,” says Dan Diorio, vice president of state policy at the Data Center Coalition.

“A state moratorium on data centers would discourage new investment, whether by the data center sector or other cutting-edge technology industries that depend on predictability and a business climate favorable to multibillion-dollar investments,” emphasizes Diorio.

Nationally, more than 140 local groups across the country have managed to block or delay more than $60 billion in investment in U.S. data center projects in just over a year, according to the nonpartisan research firm. Some states and municipalities are passing measures that would impose limits on how much electricity and water data centers can use, how much they must pay for that use, and how much information they must disclose to the communities in which they are located.

State lawmakers are reacting to the “speed, scale and secrecy” of many data center projects, says Jason Beckfield, a sociology professor at Harvard University who studies data centers. Real estate agents face extremely tight deadlines of weeks and months. It can often seem like projects fall from the sky, he adds.

“There is such a strong culture of secrecy surrounding these issues that it leaves ordinary community members and their elected representatives in a position where they have no hope of keeping up,” says Beckfield.

This growing local opposition is a serious force to be reckoned with, adds Beckfield, and constitutes a significant obstacle, along with factors such as the lack of available electrical power.

“It is more difficult to gain public support [para os centros de dados] than building a power plant”, highlights Beckfield.

In Maine and other states, concerns about rising electricity rates due to data centers were a big motivating factor for moratorium bills, say Sachs and her colleague, Maine Democratic Rep. Amy Roeder.

“We are being crushed by electricity prices”, highlights Roeder, whose voters complain about monthly electricity bills that can reach hundreds of dollars.

“Placing a data center that will consume a lot of resources in the middle of all this seems simply irresponsible to me”, adds the deputy. “I love the idea of ​​us taking a break, taking our time and getting this over with once and for all.”