Massachusetts Imposes Clean Energy Requirements on Large Data Centers
Governor Maura Healey of Massachusetts has issued an executive order requiring data centers larger than 25 megawatts to provide their own clean energy or contribute to a ratepayer protection fund. This move reflects growing political and public resistance against large-scale data center development, which was once incentivized by states seeking tech investment. The mandate aligns with broader efforts in other U.S. states like Texas and New York to regulate the sector more closely due to concerns over energy consumption and environmental impact. While Healey’s order allows for flexibility—such as funding offsite clean power generation—it still imposes significant compliance costs on developers, potentially deterring new projects. The policy also includes a pause on data center tax exemptions while regulations are finalized. The tech industry is responding with political advocacy efforts to counter these restrictions ahead of the midterm elections.
