New York becomes the first state to enact a data center moratorium
New hyperscale data centers can't set up shop in New York for up to a year now that Governor Kathy Hochul (D) has signed the nation's first statewide moratorium. But a bill passed by the state legislature that could restrict even more developments still awaits her signature. The order blocks new environmental permits for data centers over 50 megawatts, which the governor's office says will give the state time to come up with the regulations needed to protect residents from risi
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New York's governor has signed an executive order establishing the nation's first statewide moratorium on large data centers, blocking new environmental permits for facilities over 50 megawatts for up to a year. The moratorium is intended to give the state time to develop regulations protecting residents from rising energy prices and environmental damage, including impacts on water use and air quality. The governor's office designed the threshold to avoid disrupting smaller data centers used by institutions like hospitals, and is also considering frameworks for data centers to invest in energy infrastructure and for local communities to negotiate benefits. A separate bill passed by state lawmakers with a stricter 20 megawatt threshold awaits the governor's signature.
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