FREDERICK, Md. — Maryland Gov. Wes Moore says he’s all in on bringing data centers into the state.
Moore's administration has introduced a bill that would clear a big obstacle out of the way for developers in Frederick County trying to get a controversial project back on track.
In October, data center developer Quantum Loophole had some of its plans to build a gigawatt-scale complex on 2,100 acres in southern Frederick County derailed by state energy regulators. Maryland’s Public Service Commission denied waivers from environmental regulations to install a fleet of 168 backup generators, which combined could produce enough power to run more than a quarter million homes, a scale that rivals some big polluting power plants.
Developers argue the generators are for emergency use only and would not come with even a fraction of the same environmental impact as a 500 megawatt plant.
The PSC denial forced one of Quantum Loophole's first big data center tenants to pull out of its deal, which did not go over well with Moore. The governor spoke to a statewide conference of county leaders in December about his data center priorities.
“Yes means making Maryland the best place for businesses to invest in data centers and infrastructure that will drive the technology economy," Moore said to applause from the group.
The Moore administration has introduced a bill to change the law to exempt back up power for data centers from PSC regulations by declaring data centers critical infrastructure, like hospitals and fire stations.
Maryland Tech Council CEO Kelly Schulz, who also lives in Frederick County, said data centers are good businesses that don’t come with the costs of other types of development.
"If you look at the impact on the community from a data center as compared to an entire new neighborhood of homes that need to be serviced through the community and the county, its not even a comparison," Schulz said.
Skeptical opponents have been showing up at meetings of a special Workgroup on Data Centers in Frederick County, which will release its recommendations for local regulation soon.
“You need to look at regulations not for what the public relations department of a data center company says," preservationist Steve Black, the president of the Sugarloaf Alliance, told the work group on Jan. 25. "You need regulations that hold them accountable to a certain floor of behavior,"
Chelsea Kadish, the chief of staff to county executive Jessica Fitzwater, leads the work group.
“What I’m worried about is this constant comparison to Loudoun County," Kadish told workgroup members in January. "We’ve decided we don’t want to be Loudoun county. We do not want to be them."
In previous presentations, Quantum Loophole promised development that is master planned to prevent the sprawl of data centers seen in Loudoun County. But the company already needs exemptions from some state power regulations to even get started.
Moore's bill to remove the hurdle has not yet received a vote by legislators.
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