State lawmakers to introduce data center moratorium

State Representatives Micaela Lara Cadena, Angelica Rubio, Eleanor Chávez, and Senator Carrie Hamblen announced plans to introduce legislation in the 2027 legislative session for a statewide moratorium on large-scale data center development in New Mexico.

The proposed moratorium would temporarily halt new data center projects across the state, providing time for New Mexico to establish a comprehensive framework for evaluating critical factors such as water use, energy demand, emissions, ratepayer impact, and community benefits. Representative Rubio emphasized the need for the state to understand the implications of rapid data center expansion before irreversible decisions are made, stating, "New Mexico cannot keep saying yes before we understand what we are saying yes to."

This legislative push is a direct response to ongoing concerns stemming from Project Jupiter, an AI hyperscale data center under construction in Santa Teresa. The Doña Ana County Commission approved a $165 billion Industrial Revenue Bond for Project Jupiter despite an incomplete application and perceived lack of public input. Representative Cadena highlighted the project's continued construction without necessary air quality permits as an example of speed overriding scrutiny.

Lawmakers, including Representative Chávez, expressed concerns about the impact on communities in Doña Ana and Socorro counties, as well as attempts by private equity to acquire local utilities. They aim to couple the moratorium with legislation to address microgrid loopholes and enhance data security for New Mexicans, drawing lessons from similar legislative efforts in states like Maine.