Massachusetts Governor Maura Healey has issued an executive order imposing new restrictions on data center development in the state. The order requires data center developers to secure their own renewable energy supply and obtain local approval before applying for state construction permits. If developers fail to meet the clean energy requirement, they must pay into a fund benefiting Massachusetts ratepayers.

This move is seen as a significant hurdle for the data center industry, which has been expanding rapidly. Healey, who is running for reelection in November, aims to balance economic growth with environmental goals. The order reflects growing concerns about the energy demands of data centers and their impact on the grid and climate.