Stringent data center bill clears North Carolina state House

By Arianna Skibell | 06/04/2026 06:10 AM EDT

The far-reaching measure also would launch a study of the state’s 2050 carbon-neutrality target — a move that could set the stage for its demise.

Sunlight reflects off a data center in Sterling, Virginia.

Sunlight reflects off a data center in Sterling, Virginia. Francis Chung/POLITICO

The North Carolina House passed a sweeping energy bill Wednesday that would impose new restrictions on data centers, offer a lifeline to coal-fired power plants and jeopardize the state’s long-term climate goal.

The measure passed 69-44 with two Democrats joining with Republicans to get it through the GOP-controlled chamber.

Prior to the vote, several Democratic legislators expressed support for the proposed data center rules, such as requiring large computer warehouses to pay their own way. But the bill’s additional provisions turned off most members of the Democratic caucus.

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The “Ratepayer Protection Act” would prohibit the retirement of coal-fired power plants until nuclear facilities secure key permits. And it would solicit a study of the state’s 2050 carbon neutrality target that critics fear could help justify future efforts to rescind that climate benchmark.

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