Maine’s legislature on Tuesday passed a temporary moratorium on the construction of large data centers through November 1, 2027, making Maine the first state in the US to impede facility expansion as lawmakers study their strain on the state’s power grid.

The bill prohibits state agencies and municipalities from approving data centers that consume 20 megawatts of power or more. It also creates a coordination council of government officials, energy experts, and other stakeholders to develop policy recommendations and guidelines for future data center regulation in the state.

The state House approved the measure 79-62, and the Senate passed it 21-13. The bill now heads to Governor Janet Mills, who has 10 days to sign, veto, or allow it to become law through abstention. Mills has signaled certain support of the moratorium but has recently wavered over a lacking exemption for a proposed data center at a former mill site in the town of Jay.

Supporters have argued that large data centers strain local power grids and drive up electricity costs for ratepayers, as demand for AI and cloud computing infrastructure grows. Critics of the measure, including industry groups, claimed the restriction would deter economic investment and push projects to neighboring states.

Maine’s bill is the first statewide moratorium of its kind, though several other states have introduced similar measures as data center development accelerates across the nation. If signed into law, the moratorium would take effect immediately.