Maine to become first US state to bar major data centers

Maine lawmakers have backed a pause on new large data centres, putting the state on track to become the first in the US to slow construction tied to the intensifying AI boom.

The measure cleared both the state house and senate and now heads to Democratic Governor Janet Mills, according to the bill’s sponsor, Representative Melanie Sachs.

It will take effect unless Ms Mills decides to veto it.

“This bill positions Maine to respond deliberately and responsibly to a rapidly evolving industry,” said Ms Sachs.

The rise of generative artificial intelligence has sharply accelerated demand for data centres, prompting a wave of projects across the United States.

That expansion carries trade-offs: the energy-intensive facilities are putting pressure on local power grids and pushing electricity costs higher.

Data centres also tend to require vast sites, consuming land that might otherwise support housing, commercial development, recreation or green space.

Resistance has been growing. A recent Quinnipiac University poll found that 65% of Americans oppose a data centre being built in their community.

If it is signed into law, the Maine bill would halt new data centre construction until November of next year.

It would also establish a council to evaluate the risks and benefits of proposed data centres and advise planners.

Maine does not currently host any large-scale data centres, but several projects have surfaced in recent weeks, according to Ms Sachs.

Across the US, spending on data centre construction has climbed rapidly in recent years as technology companies commit tens of billions of dollars to infrastructure in the contest to dominate AI.

Under the proposed Maine law, local officials would be barred from issuing permits for data centres with electrical capacity above 20 megawatts.

Maine is among the states where household electricity bills have climbed steeply in recent years, according to the US Energy Information Administration.

Last year, elected officials in two Maine cities rejected data centre proposals after accusing developers of obscuring how much electricity and water the projects would consume, local media reported.