| New York Gov. Kathy Hochul (D) is imposing the nation’s first-ever statewide freeze on new “hyperscale” data centers. |
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| © AP Photo/Julia Demaree Nikhinson, File |
| Hochul is pausing state-level environmental permits for “up to” a year to give the state time to put together a framework to protect the environment, the energy grid and New Yorkers’ electric bills, her office said. Hochul aides told reporters that the pause would apply to data centers that can use 50 megawatts or more of power. According to the International Energy Agency (IEA), data centers can vary in terms of their size and power use. The IEA says that “conventional” data centers can use between 10 and 25 megawatts while “a hyperscale, AI-focused” data center can use 100 megawatts or more. Hochul’s announcement comes after the New York state legislature passed its own one-year moratorium last month. The bill would block data center permits for “hyperscale” facilities, which it defines as those with a peak load of more than 20 megawatts. It’s still unclear whether the governor plans to sign or veto that bill. Hochul aides said that her office needs more time to look at the legislation and work on it with the legislature. The aides said that in light of this, executive action is the fastest way to get something done. It will be in place for up to a year, aides said, as the governor’s office works on a regulatory framework that relates to the centers’ environmental impact and impact on both water quality and quantity. The state will also seek to have the centers pay into a fund for the electric grid and will put together an investment fund framework to help localities negotiate their own agreements. |