Brook Detterman Discusses Growing Data Center Opposition and Permitting Risks with Bloomberg Law
Principal Brook Detterman (Boston) spoke with Bloomberg Law about the increasing scrutiny facing data center development projects and how project developers can navigate state and local scrutiny.
In “Veto of Maine Data Center Moratorium Bill Carries Lessons for Developers,” Brook noted that the legislation reflects a broader trend of governments responding cautiously to the rapid growth of the industry. “I think that governments are tempted to hit the brakes when any new industry takes off, and I think that’s what’s happening here a little bit,” he said, adding that such measures present a potential risk as the data center sector continues to expand.
As B&D wrote in an earlier alert, Maine’s Governor Janet Mills vetoed legislation that would have temporarily paused data center construction until 2027. At the same time, Governor Mills also signed a bill that would bar data centers from receiving state business development and tax incentives, and issued an executive order to establish a council to study the impacts of data centers. Other states are considering similar actions.
Brook explained that while opposition to large-scale data center projects remains a challenge in many jurisdictions, developers can improve their prospects by understanding and addressing local concerns early in the process. He emphasized the importance of community engagement and recognizing the economic benefits that data center projects can bring to host communities. As Brook observed, “There are certainly situations where people want the benefits these projects can bring.”
Beveridge & Diamond is a national leader in energy matters, regularly representing energy developers, utilities, and large industrial consumers in litigation, regulatory, and transactional matters. Our Data Center, Electric Power, and Renewable Energy practice groups provide comprehensive environmental regulatory, litigation, and transactional support to clients across the data center, manufacturing, and energy development sectors. If you have any questions about FERC’s Order or would like assistance engaging with the agency, please contact the authors.
