A look back at Dryden’s historic ban on data centers as governor mulls moratorium

The Town of Dryden in New York has become the first municipality in the state to ban the construction of data centers and cryptocurrency facilities. This decision, made by the Town Board on February 19, followed an initial 18-month moratorium that was extended and eventually led to a permanent prohibition due to "overwhelming opposition from community members."

The primary concerns cited by Town Deputy Supervisor Dan Lamb and the town's Climate Action Committee (CAC) included high energy consumption, potential strain on the local electricity grid, rising energy prices, and adverse environmental impacts, including increased fossil fuel usage and greenhouse gas emissions. CAC Chairperson Jack Wright highlighted that these facilities draw exorbitant electricity demands that are difficult to monitor, contributing to dirtier air and water in New York State.

This local development unfolds as New York Governor Kathy Hochul weighs a decision on a statewide one-year moratorium on data center permits. State lawmakers, including Assemblymember Anna Kelles and State Sen. Lea Webb, voted on June 3 to approve the Responsible Data Center Development Act. This bill proposes creating new water and electric classes for large data centers, requiring environmental impact reports, setting energy-efficiency goals, establishing host community benefit programs, and defining labor standards. Gov. Hochul has until the end of December to make a final ruling.

The article also notes that while Dryden has implemented its ban, the neighboring town of Lansing is experiencing division over a proposed AI data center development project by TeraWulf, which aims to redevelop the former Cayuga power plant. This local debate in Lansing served as a catalyst for broader regional discussions on data center impacts.