New York

New York Becomes the First State To Ban New Data Centers

Gov. Kathy Hochul’s one-year moratorium buys time for the state to create a convoluted regulatory regime.

Tosin Akintola | 7.14.2026 6:13 PM

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On Tuesday, New York Democratic Gov. Kathy Hochul signed an executive order instituting a one-year moratorium on new environmental permits for hyperscale data centers that "consume or can consume" 50 or more megawatts of energy.

The order is intended to give lawmakers in the state time to "build a nation-leading regulatory framework" to rein in data center development, which Hochul says "threatens to hike up utility bills, deplete our natural resources, and create uncertainty for New Yorkers."

It tasks the Department of Public Service with examining the impact of data centers connecting to New York's electric grid, including "energy demand, water use and quality, air quality, disproportionate impacts on disadvantaged communities, and noise levels." Until its environmental impact statement is completed, the........

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