Maryland Governor establishes new oversight for large data centers

Maryland Governor Wes Moore has issued an executive order establishing a new regulatory framework for large-scale data center developments. The order mandates a statewide review for any proposed projects requiring 25 megawatts of power or more when seeking state permits, incentives, or support.

To oversee this process, the state is creating the Maryland Data Center Accountability Task Force. This body will evaluate projects based on five core principles: protecting the electric grid and ratepayers, ensuring economic benefits for residents, providing community input, protecting the environment, and increasing transparency. Developers will be required to demonstrate how they will meet energy needs without increasing costs for other utility customers. Reviews will also consider local hiring, wages, water usage, and air emissions.

As part of these measures, the state will launch a public Data Center Dashboard to provide monthly updates on proposed projects, including their locations, developers, and projected resource demands. Additionally, Governor Moore expressed intent to seek a repeal of the 2020 Data Center Sales and Use Tax Exemption through the Maryland General Assembly to reduce corporate influence over state regulations.