Assembly rejects temporary moratorium on data centers after lengthy debate; developer funds electrical study

Sep 25, 2026

After public comment and a prolonged assembly debate about power, water and local control, the Petersburg Borough Assembly voted 3–3 against initiating a temporary moratorium on data centers; developer Mazzella Alaska said it will privately fund an electrical-capacity study to clarify constraints and opportunities.

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The Petersburg Borough Assembly voted 3–3 on Sept. 21, rejecting a Planning Commission recommendation to place a temporary moratorium on data-center land-use applications in Service Area 1. Proponents said the pause would create time for boroughwide ordinance language and safeguards; opponents argued existing permitting and utility review would prevent projects that would overwhelm local systems.

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