Lewiston city councilors voted against a proposed data center earlier this week due to concerns about potential environmental impacts.
In recent weeks, the Trump administration has attempted to downplay the increasing research indicating that the rise of artificial intelligence in the U.S. is leading to higher electricity bills for citizens. Doug Burgum, the Secretary of the Interior and chairman of President Donald Trump’s National Energy Dominance Council, has been at the forefront of defending energy-intensive data centers.
Burgum claimed that there is no connection between data center growth in certain states and rising electricity prices, attributing the issue instead to states moving towards renewable energy. In a recent interview, he mentioned Maine as an example, stating that the highest electricity prices in the U.S. are in states like Hawaii and Maine, where there is little to no data center activity.
Maine’s rising energy costs have been primarily linked to fluctuating natural gas prices and cleanup expenses from recent storms, rather than data center construction, as noted by Maine Public Advocate Heather Sanborn. She stated that there has been minimal data center development in Maine and no impact on the state’s electricity prices.
Despite the current lack of data centers, concerns exist about potential energy cost increases as AI project proposals arise in Maine. In a letter sent to Congress, several environmental organizations, including Maine nonprofits, requested a national moratorium on new data center constructions, citing significant environmental and social risks associated with their rapid expansion.
Emily Carey Perez de Alejo, Executive Director of Defend Our Health, expressed concerns about the swift establishment of data centers without a clear understanding of their emissions, energy consumption, and effects on electricity prices and health. She highlighted examples from across the country where energy bills have surged, access to drinking water has dwindled, and harmful emissions have polluted communities.
Currently, Maine houses only eight small data centers, according to Data Center Map. Proposed developments, including the state’s first large-scale AI data center at the former Loring Air Force Base, are moving forward, while others have faced cancellation or strong community opposition.
Recently, the Lewiston city council unanimously rejected a $300 million proposal for a 24-megawatt data center inside the historic Bates Mill Complex, citing public opposition and unanswered questions. Residents raised concerns about the environmental impacts, a significant tax break for the developer, and the lack of guaranteed benefits for the city.
Councilor Joshua Nagine noted that while he believed the proposal held merit, the public engagement process was flawed, leaving many questions unresolved. Sanborn emphasized that while the developments may be smaller than those elsewhere, they still pose potential risks, particularly in terms of future costs associated with grid upgrades or company failures.
She warned that Maine’s involvement in the ISO New England wholesale electricity market could result in increased energy costs regionally due to data center developments, even those that do not ultimately materialize. Consumer advocates are working to ensure that market rules protect consumers from such risks.
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