New York State pauses new hyperscale data centers for up to a year under Hochul order
New York State has enacted a one-year moratorium on new hyperscale data centers through an executive order signed by Governor Kathy Hochul. This pause aims to allow the state to develop a regulatory framework that safeguards the environment, ratepayers, and the energy grid. The statewide moratorium supersedes existing local moratoriums in towns like Manlius, Clay, and Lysander.
Governor Kathy Hochul signed an executive order imposing a moratorium on new hyperscale data centers across New York State for up to one year. This decision, made on Tuesday morning, follows months of public concern regarding the environmental impact, energy consumption, and noise generated by large data center developments.
The Governor stated that the moratorium provides the state with time to establish a comprehensive regulatory framework. This framework aims to protect the environment, ensure fair rates for ratepayers, and maintain the stability of the energy grid. Governor Hochul emphasized New York's intent to lead in creating the strongest national standards for data center development, ensuring benefits for New Yorkers.
Several local municipalities had already enacted their own moratoriums, including the Town of Manlius (approved July 8, for one year), the Town of Clay (approved June 29, for one year, despite no specific project proposals), and the Town of Lysander (approved May 7, for six months). Lysander's vote was prompted by concerns over Renalli Super DC, LLC's potential application for a 300-megawatt hyperscale data center. The new state-level executive order will now supersede these local moratoriums.