Republicans seek details on discount energy for NY data centers
New York Republican lawmakers are seeking details from the New York Power Authority about discounted electricity provided to data centers through the ReCharge NY program. The inquiry comes amid concerns about grid reliability, taxpayer subsidies and the state’s newly enacted moratorium on large-scale data center development.
New York Assembly Republicans are asking New York Power Authority President and CEO Justin Driscoll to disclose how many data centers receive discounted public power and the value of those subsidies. The Times Union reported that a Bloomberg data center in Rockland County receives an electricity allocation far larger than a nearby hospital while generating fewer permanent jobs, though the authority does not disclose the precise rates paid by individual businesses.
The inquiry comes as Gov. Kathy Hochul’s one-year moratorium on large, hyperscale data centers takes effect and lawmakers debate additional restrictions, including a proposed ban on sales-tax exemptions. Supporters, including state Sen. Kristen Gonzalez and Reinvent Albany policy adviser Alex Camarda, cited grid reliability, utility costs and limited job creation, while the Power Authority and Hochul’s representatives said existing ReCharge NY facilities are generally smaller operations serving financial institutions, hospitals and other organizations. Large proposed projects in Genesee County could still seek public-power allocations after the moratorium ends.