Montgomery County imposed an 18‑month moratorium on new data center construction after a proposed five‑building, 360‑megawatt campus in Dickerson prompted broad opposition. Two council committees also advanced a zoning amendment that would limit new data centers to 25 megawatts. Supporters say the pause will allow officials to gather data, consult experts and craft safeguards; developers say they are exploring lower‑carbon designs.
Montgomery County Approves 18‑Month Moratorium on Data Centers After 360 MW Dickerson Proposal Sparks Backlash

Montgomery County officials have imposed an 18‑month moratorium on new data center development after a proposed five‑building, 360‑megawatt campus in Dickerson, Maryland, triggered community and environmental concern. The pause, approved unanimously by the County Council after earlier committee actions, is intended to give officials time to study the industry’s local impacts and craft tighter rules.
What Happened
On July 22 two County Council committees moved to slow the rapid expansion of large data centers: the Economic Development Committee endorsed an 18‑month moratorium on new projects, while the Planning, Housing and Parks Committee advanced a zoning amendment that would cap new data centers at 25 megawatts, according to reporting by Bethesda Today. Following those committee actions, the full council voted unanimously to impose the 18‑month pause.
Why It Matters
The immediate catalyst for the measures was Atmosphere Data Centers’ plan—on land owned by Terra Energy—to build a five‑building, 360‑megawatt campus at the site of a retired coal‑fired power plant in Dickerson. Residents and environmental groups warned that a development of that scale could significantly increase local electricity demand and water use, generate noise and pollution, and rely on diesel backup generators that harm air quality.
Local Concerns and Voices
“The pause will forge a pathway forward to understanding better the sort of extractive nature of this industry and how Montgomery County might manage it,” said Caroline Taylor, executive director of the Montgomery Countryside Alliance.
Environmental groups urged the council to approve both the moratorium and the 25‑megawatt cap, arguing large projects should not proceed without stronger safeguards. Jorge Aguilar, Southern Regional Director for Food & Water Watch, called the moratorium "commonsense," warning that large AI data centers could raise pollution and utility bills.
Industry Response
Atmosphere Data Centers says its Dickerson proposal emphasizes sustainability and low‑impact design. CEO Chuck McBride told Bethesda Today the company is "actively evaluating all available options to incorporate cleaner and lower‑carbon energy solutions." Supporters of the moratorium say the pause will give the county time to gather data, consult independent experts, and write clear rules for the industry.
Broader Context
The Montgomery County debate reflects a nationwide tension: data centers are essential to cloud services, streaming and artificial intelligence, but can place heavy demands on electrical grids and water systems—pressures that grow as AI workloads expand. Proponents note AI and data‑center technologies can also help optimize clean‑energy systems and grid efficiency, but many stakeholders say policy must catch up to ensure community and environmental protections.
Next Steps
During the moratorium county officials are expected to collect data, consult biological, ecological and energy experts, and consider zoning and permitting changes—including the proposed 25‑megawatt limit. The pause aims to balance economic opportunity with protection of water resources, air quality and the county’s climate goals.
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