Massachusetts mandates clean power for large data centers
Original: Massachusetts hits data centers with new clean power rules
Why This Matters
State-level clean energy mandates are reshaping where and how large-scale AI infrastructure can be built across the U.S.
Massachusetts Gov. Maura Healey signed an executive order requiring data centers over 25 MW to supply 100% clean energy or pay into a ratepayer protection fund. The state also paused a data center sales tax exemption and became the third state in three months to restrict data center development.
Massachusetts Gov. Maura Healey issued an executive order mandating that data centers exceeding 25 megawatts of peak demand source 100% of their electricity from clean energy. Developers are encouraged to generate power onsite; if not, they must fund new nearby clean generation or contribute to a ratepayer protection fund. The order also directs local communities to avoid signing non-disclosure agreements with data center developers. To allow time for regulatory implementation, the governor paused a data center sales tax exemption that had taken effect the previous month. Massachusetts's existing clean energy standard requires only a portion of power from approved sources—rising to 40% by 2030—but the executive order holds data centers to a stricter 100% clean energy requirement. The state joins New York, which halted construction of data centers 50 MW or larger in July, and Texas, which in August required new data centers to submit to audits by its public utility commission and ERCOT. Meanwhile, pro-AI super PAC Leading the Future—backed by Marc Andreessen, Ben Horowitz, and Greg Brockman—is running ads targeting voters in battleground states ahead of midterm elections.