Statewide pause on data centers
Governor Kathy Hochul has signed an executive order enacting a statewide pause on hyperscale data center construction in New York for up to a year. This pause will allow the state to develop rules to protect the environment and energy grid from these AI-fueling facilities. The Governor cited concerns about power consumption, grid capacity, and rising costs for local ratepayers.
New York Governor Kathy Hochul signed an executive order today imposing a statewide pause on the construction of new large-scale data centers for up to one year. The move aims to allow the state time to develop regulations designed to safeguard the environment and the energy grid from facilities that support AI technology.
Governor Hochul stated that hyperscale AI data centers consume vast amounts of power, posing a threat to the state's grid capacity and driving up costs for local ratepayers, which she refuses to pass on to New Yorkers. This statewide action follows existing local pauses, including one in Western New York, where the City of North Tonawanda extended its own pause on data centers in June after residents expressed concerns about a proposal to convert an existing cryptomining facility on Erie Avenue.