Loudoun County Board of Supervisors approves Significant Changes to Data Center Regulations

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The Loudoun County Board of Supervisors has approved significant changes to data center regulations, eliminating them as a by-right use in the county. The board voted 7-2 to alter the county’s comprehensive plan and zoning ordinance, making data centers a “conditional use” in areas where they were previously a core or complementary use. This change requires future data centers to meet specific conditions and go through a public hearing process for approval.

However, the board also voted 5-4 to grandfather applications that were already in place by February 12, 2025, for projects more than 500 feet away from residential units. According to Vice Chair Mike Turner, 24 data center applications were grandfathered by this vote.

These changes could potentially lead to increased electric bills for area residents. Data centers are significant contributors to the county’s revenue, generating 38% of all general fund revenues. With stricter regulations on new data centers, the county may face reduced revenue, which could result in higher taxes or utility costs for residents to compensate for the shortfall.

To mitigate the potential financial burden, Loudoun County residents could consider installing solar panels. The average electricity customer in Loudoun County spends about $191 per month on electricity, totaling $2,292 per year. By installing a 13.9 kilowatt (kW) solar panel system, residents could offset 100% of their annual electricity consumption.

The benefits of solar installation in Loudoun County include:

  • Reduced energy costs: Homeowners can significantly reduce or eliminate their dependence on utility companies.
  • Environmental sustainability: Solar energy is a clean, renewable source that doesn’t produce harmful emissions.
  • Increased property value: Homes with solar panels installed sell for an average of 4.1% more than those without.

Additionally, Virginia homeowners can benefit from a 30% federal solar tax credit and earn Solar Renewable Energy Credits (SRECs), potentially saving up to $900 each year. These incentives, combined with the long-term savings on electricity bills, could help offset any potential increases in utility costs resulting from the new data center regulations.