Massachusetts has introduced new rules for data centers, requiring those over 25 megawatts to generate their own clean power or contribute to a protection fund. Governor Maura Healey's executive order marks a shift, as states previously offered incentives for data centers. Now, they face public opposition and regulatory scrutiny.
The order aims to ensure data centers meet Massachusetts' strict clean energy standards, which are ratcheting up annually. Although the data centers won't be generating 100% of their power on-site, they must adhere to the clean energy requirements. The governor has also paused applications for a data center sales tax exemption.
Massachusetts joins Texas and New York in tightening restrictions. These states are responding to public concerns over the environmental impact of data centers, which are significant power consumers. The tech industry is pushing back, with a pro-AI PAC running ads to sway voters.
As the debate around clean energy intensifies, it remains to be seen how these changes will affect the tech sector. For now, data centers will have to get their power from cleaner sources if they want to keep expanding in Massachusetts.







