Assemblyman Gray calls for veto of state-wide moratorium on data centers
Assemblyman Scott Gray has urged Governor Kathy Hochul to veto proposed legislation for a one-year statewide moratorium on data center development in New York. Gray argues that the moratorium would harm economic investment and local decision-making, citing ongoing projects like NYDIG's expansion in Massena. He advocates for clear standards to address community concerns rather than a ban.
Assemblyman Scott Gray has urged New York Governor Kathy Hochul to veto proposed legislation that would impose a one-year statewide moratorium on data center development. Gray contends that while residents' concerns about noise, water use, and electricity bills are valid, a blanket moratorium would stifle investment, override local decision-making, and duplicate ongoing work by the governor's administration. He advocates for clear, firm standards instead, as proposed in his "High-Energy User Act" (A.11419), which aims to ensure companies bear the costs associated with high-energy use.
The proposed moratorium threatens projects such as NYDIG's planned expansion at the former Alcoa East site in Massena, St. Lawrence County. NYDIG intends to construct three large buildings, creating approximately 2,000 construction jobs and 200 permanent positions. Company official Josh Burandt presented details to the Massena Town and Planning Boards, outlining plans for 635 megawatts of power. However, over 80 residents attended these meetings, raising concerns about job creation, environmental impact, and increased utility rates, despite a lack of a public comment period.
Gray highlights that existing regulatory processes, including reviews by the New York Independent System Operator and the Public Service Commission's "Energize NY Development" proceeding, already provide ample scrutiny and take years to complete. He argues that the moratorium would add significant delays and send a negative message to the economic development community. Furthermore, Gray asserts that the bill's requirement for renewable energy rather than clean, zero-emission energy would inadvertently exclude nuclear power, undermining the state's nuclear energy initiatives, and that its renewable mandate could conflict with farmland protection efforts by requiring extensive land for on-site renewable energy generation. He emphasizes that siting decisions should remain with local communities.