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New York Blocks New 50 MW Data Centre Permits For Up To A Year

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The Verge reported that New York Governor Kathy Hochul signed an order blocking new environmental permits for hyperscale data centres over 50 megawatts for up to a year. The outlet said a separate 20 megawatt bill still awaits her signature, and affected proposals were not identified.

Verified against source materialEdited by SendTech Times Cloud & Infrastructure Desk
New York Blocks New 50 MW Data Centre Permits For Up To A Year
Image source: The Verge

The Verge reported that New York Governor Kathy Hochul signed an executive order blocking new environmental permits for hyperscale data centres over 50 megawatts for up to a year.

A stricter bill passed by state lawmakers still awaits her signature.

The Verge said the legislative text uses a 20 megawatt threshold, below the 50 megawatt level in the executive order.

New Permits Stop Above 50 Megawatts

Hochul's office said the higher threshold is meant to avoid disrupting smaller facilities used by institutions such as hospitals.

In a statement cited by The Verge, Hochul said data-centre development threatens to raise utility bills, deplete natural resources and create uncertainty for New Yorkers.

The Verge reported that the governor's office could not immediately identify how many proposals would be affected.

Hochul has not yet said whether she will sign the legislature's separate moratorium bill.

DPS Gets Up To One Year To Draft Standards

The moratorium can last up to a year while the Department of Public Service develops standards for assessing environmental impacts from data-centre construction and operation.

The Verge said those standards are expected to cover water use and air quality.

Hochul also asked the department to consider a mechanism for data centres to invest in New York's energy infrastructure.

The state's development arm was directed to work on a framework that helps local communities negotiate benefits when data-centre projects seek approval.

Data-Centre Subsidy Changes Remain Open

The Verge reported that Maine nearly became the first state to pass a data-centre moratorium before its governor vetoed a bill in April.

Communities in several states have raised concerns about energy prices and environmental impacts as AI accelerates infrastructure demand.

Hochul also said Tuesday that she plans to ask the legislature next year to roll back sales-tax exemptions for large data centres.

Her office did not identify the number of affected proposals, publish final DPS standards or say whether the 20 megawatt legislative moratorium will be signed.

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