Bipartisan Support Grows for Data Center Moratorium in Virginia

Political Momentum Builds for Data Center Moratorium

Bipartisan calls are mounting for a moratorium on new data center development in Virginia, with lawmakers from both sides of the aisle voicing concern over the rapid growth of the data center industry. The increasing political focus reflects shifting public sentiment and sets the stage for potential legislative action during the next General Assembly session.

Republican and Democratic Lawmakers Push for a Pause

Republican State Senator Glen Sturtevant (R-Colonial Heights) has advocated for an indefinite pause on the approval and construction of new data centers since July. Sturtevant emphasizes the cost burden on utility payers and the environmental impacts, stating, "Every one of us in our electric bill pays for the generation and transmission lines that are needed for these data centers. And now we’re also learning about the impacts on our waterways and our water resources."

In October, Democratic State Senator Russet Perry (D-Loudoun) introduced a bill to institute a three-year moratorium on new data center approvals, beginning July 1, 2027. Perry argues that Virginia needs a pause to develop guidelines on water usage, energy consumption, and other regulatory factors. "We can not continue to shove new data centers down a pipe… that is already flooding over," Perry said, highlighting the need to address infrastructure pressures.

Senate Leadership and Governor Propose Different Approaches

Senate Majority Leader Scott Surovell (D-Fairfax) affirmed via social media that a temporary moratorium is on the Senate Democratic caucus's legislative agenda, aligning such a pause with the implementation of forthcoming data center regulations proposed by Governor Abigail Spanberger.

Governor Spanberger, in September, introduced a comprehensive data center plan that requires approval from the General Assembly. While her proposal does not explicitly call for a moratorium, it aims to enhance transparency — including a ban on non-disclosure agreements between local governments and data center developers — and sets new environmental standards. Spanberger also contends that wealthier companies should contribute more in taxes, seeking to ensure equitable economic growth.

Public Opposition Shapes Political Landscape

Randolph-Macon Political Science Professor Rich Meagher observes that public opposition to data centers has grown. He notes, "I absolutely think that any politician who’s running for office in 2027 in Virginia has to account for this public fury; if they don’t, it will be at great risk to their continuation in office." Meagher suggests that Governor Spanberger could compromise by supporting a temporary pause until new regulations are enacted, emphasizing the significance of timing and political framing.

According to Meagher, both the language used and the structure of a potential pause could facilitate consensus among lawmakers and the governor.

Industry Response and Economic Concerns

The Data Center Coalition (DCC), represented by Nicole Riley, Director of Virginia Government Affairs, urges caution against a statewide moratorium. In a statement, Riley emphasized the economic benefits data centers bring, including jobs and local tax revenue: "Data centers can play a crucial role in advancing Virginians’ top priorities including affordability, job creation, local tax revenue, and bringing investment and opportunity to communities."

The DCC cautions that a top-down moratorium could drive investment and jobs to neighboring states, challenging the competitiveness of Virginia’s economy. Riley states the industry remains committed to responsible development and engagement with local leaders, and looks forward to collaborating with Governor Spanberger and legislators during the 2027 General Assembly session.

Looking Ahead: Legislative Action on the Horizon

As the 2027 General Assembly session approaches, the fate of a potential data center moratorium remains uncertain. Legislative proposals, increasing public scrutiny, and forthcoming elections are intensifying the debate over how Virginia manages its growing data center industry, balancing environmental, economic, and community concerns.

Source: wric.com.