Massachusetts Governor requires local sign-off for new data center projects
Gov. Maura Healey signed an order that makes community approval a prerequisite for state permits on proposed data centers.
Governor Maura Healey issued an executive order requiring local communities to approve data-center projects before they can move forward with state permitting. Developers must negotiate community-benefit agreements that align with state-wide standards, and the order prohibits nondisclosure agreements between state agencies and the facilities. The rule applies to projects with a peak electricity demand over 25 megawatts, which must prove they meet the administration’s framework for protecting public health, water resources, and air quality.
The framework also expects new centers to source or develop their own energy without raising rates for existing ratepayers or overloading the grid. Additionally, the order creates a Ratepayer Protection Fund to return money to customers if a center relies on the grid before its own clean-energy supply is operational. Healey emphasized the goal of having data centers provide clean power from day one or otherwise compensate ratepayers for the interim usage.
