Washington state Gov. Bob Ferguson has signed an executive order directing the Washington state Department of Revenue to create and lead a workgroup that evaluates the impacts of data centers on the state’s economy, tax revenue, energy use, and environment.

“We must ensure Washington remains a leader in technology and sustainability—these experts will help us do that,” Ferguson says in a press release. “This group will help us balance industry growth, tax revenue needs, energy constraints, and sustainability.”

The workgroup will include representatives from the state commerce department, ecology department, the Washington Utilities and Transportation Commission, electric utilities, environmental advocacy groups, labor organizations, and industry.

Ferguson has ordered the workgroup to submit its findings and any policy recommendations by Dec. 1.

Data centers are computing infrastructure that support Washington’s digital economy. They provide essential services that drive innovation and economic growth, the press release states. At the same time, such centers also consume significant amounts of electricity, which can put strain on the local power grid and can require increased energy generation, storage, and transmission.