Maryland data center and energy laws

What it would do: Requires the Department of the Environment, Maryland Energy Administration, and University of Maryland School of Business to conduct an analysis of data center development impacts on environmental, energy, and economic factors, with a final report due to the Governor and General Assembly by September 1, 2026.

What it would do: Requires applications for certificates of public convenience and necessity for generating stations in at-risk census tracts to include a BURDEN report detailing existing environmental and public health burdens. Requires the Public Service Commission to deny applications if they will cause or contribute to adverse environmental or public health stressors unless the applicant demonstrates public interest.

What it would do: Requires large load customers with at least 25 megawatts monthly demand and over 80% load factor to register with the Public Service Commission before interconnecting to the electric system. Establishes a demand response program for these customers and makes qualifying data centers eligible for sales and use tax exemptions.

What it would do: Expands transmission line certificate requirements to all lines over 69,000 volts, requires the Public Service Commission to establish criteria for waiving certificates for existing transmission lines, and prohibits data center construction in Baltimore City development districts subject to tax increment repayment on outstanding bonds.

What it would do: Prohibits employees, contractors, and consultants of the State, local governments, and the General Assembly from entering into nondisclosure agreements with persons involved in economic development activities, including data center operations. Includes public service companies as instrumentalities of the State under the Public Information Act.

What it would do: Authorizes Baltimore City and counties to establish a personal property tax subclass for qualified data centers and set a single special tax rate for that subclass, effective for taxable years beginning after June 30, 2026.

What it would do: Requires large-scale data center owners to submit disclosure reports to state and local agencies 60 days before applying for permits or state financial assistance. Requires local jurisdictions with 10,000+ residents to adopt data center plans and zoning regulations by June 30, 2027, and restricts state financial assistance to compliant facilities.

What it would do: Requires data center owners to comply with sound, vibration, and backup power standards established by the Department of Environment, including protections for schools and residential areas. Prohibits data center construction on prime agricultural land, in rural legacy areas, or on land with agricultural easements unless no industrial zones are available.

What it would do: Applies large load customer rate schedule requirements to data centers regardless of demand thresholds, and extends the deadline for electric companies to submit rate schedules to the Public Service Commission from September 1, 2026 to January 1, 2027.

What it would do: Exempts large load customers (at least 25 megawatts with over 80% load factor) from certificate requirements, establishes interconnection and demand response processes, requires customers to provide 25% of load capacity through storage or clean energy, and directs study of surplus interconnection potential.

What it would do: Exempts off-grid electricity providers that do not interconnect with the state's electric system, cross state lines, or use federal, state, or local roadways from most Public Utilities Article provisions, but requires compliance with certificate and approval requirements for generating facilities. Applies to providers beginning operations on or after October 1, 2026.

What it would do: Requires the Public Service Commission to adopt regulations for generating stations co-located with data centers that are not interconnected to the electric grid, including requirements for backup power, cybersecurity, and annual reporting on energy use and environmental impact.

What it would do: Repeals the sales and use tax exemption for qualified data center personal property and repeals the authorization for counties and municipal corporations to reduce or eliminate property tax assessments on qualified data center personal property, effective July 1, 2026.

What it would do: Prohibits any person from constructing a data center in Maryland and prohibits state or local government from approving data center construction proposals. The prohibition terminates if the General Assembly enacts legislation requiring new data centers to be co-located with specified power generation facilities.

What it would do: Establishes an expedited 6-month review process for data center projects with co-located energy generation that receive a fast track pass from a new advisory committee. Modifies data center sales and use tax exemption requirements to mandate power usage efficiency standards, renewable energy sourcing, and allows the Department to limit exemptions based on economic development priorities.

What it would do: Requires the Public Service Commission to adopt regulations for generating stations co-located with data centers that are not interconnected to the electric grid, defining them as independent resources exempt from retail electric customer laws, distribution fees, and renewable energy portfolio standards.

What it would do: Requires a person to obtain a certificate of public convenience and necessity from the Public Service Commission before beginning construction of an energy storage device with a minimum capacity of 2 megawatts installed in front of the meter, subjecting such devices to the same regulatory process as generating stations and transmission lines.

What it would do: Requires the Public Service Commission to consider grid enhancing technologies as an alternative to constructing new overhead transmission lines when reviewing certificate of public convenience and necessity applications, and defines grid enhancing technologies as infrastructure that increases transmission line capacity, efficiency, reliability, or resilience.

What it would do: Requires each electric company to submit a specific rate schedule for data center customers by July 1, 2026, with minimum contract terms of at least 20 years plus load ramp period, load ramp capacity requirements, financial responsibility provisions, and collateral requirements.

What it would do: Authorizes Calvert County's governing body to enter into payment in lieu of taxes agreements with qualified data center owners, allowing negotiated annual payments in place of county property taxes on specified property for the agreement term.