New York Lawmakers Propose Three-Year Moratorium on New Data Center Construction
In a significant move, New York state legislators have introduced a bill aiming to halt the issuance of permits for new data centers for a minimum of three years. As concerns mount regarding the impact of these facilities on local communities, this initiative positions New York as the sixth state to contemplate a pause in data center developments.
With tech companies increasingly investing in artificial intelligence infrastructure, both Democrat and Republican lawmakers are voicing apprehensions about potential consequences, such as higher electricity costs for residents. Recent studies have shown a correlation between the proliferation of data centers and rising home utility bills.
Among the critics advocating for a broader stance is progressive Senator Bernie Sanders, who is pushing for a nationwide moratorium. Conversely, Republican Florida Governor Ron DeSantis has expressed similar sentiments, arguing that data centers could lead to increased energy expenses, affecting everyday Americans.
Over 230 environmental organizations, including prominent groups like Food & Water Watch, Friends of the Earth, and Greenpeace, have signed an open letter urging Congress to mandate a national halt on new data center construction.
The bill, spearheaded by Democratic Senator Liz Krueger and Assemblymember Anna Kelles, reflects growing unease about New York’s readiness to accommodate what they describe as “massive data centers.” Krueger emphasized the importance of taking a step back to develop stronger policies that can address the challenges posed by these facilities, stating, “It’s time to hit the pause button, give ourselves some breathing room to adopt strong policies on data centers, and avoid getting caught in a bubble that will burst and leave New York utility customers footing a huge bill.”
This initiative follows Governor Kathy Hochul’s recent announcement of the Energize NY Development program, aimed at modernizing the connectivity of large energy users like data centers to the grid while ensuring these entities contribute fairly to state energy costs.
Key Points:
– New York legislators propose a three-year halt on new data center permits.
– Concerns about electricity costs are driving this initiative.
– Influential environmental groups are advocating for a national moratorium.
– Legislative efforts reflect bipartisan concerns regarding the infrastructure demands of data centers.
