New York State Considers Moratorium on Data Center Construction
State lawmakers in New York have recently introduced a bill that could put a halt on the construction and operation of new data centers for at least three years. This move comes as concerns grow over the impact of these facilities on surrounding communities and the environment. According to a report by Wired, New York is now the sixth state to consider such a pause on data center development.
Tech companies are investing heavily in building AI infrastructure, but both Democrats and Republicans are raising red flags about the potential consequences of these data centers. Studies have shown a connection between data centers and increased home electricity bills, adding to the concerns.
Notable figures such as Senator Bernie Sanders and Governor Ron De Santis have voiced their opposition to unchecked data center growth. Sanders has called for a national moratorium, while De Santis warns about the impact on energy bills and online safety for children.
Environmental groups, including Food & Water Watch, Friends of the Earth, and Greenpeace, have also joined the chorus, advocating for a national pause on new data center construction. In New York, state senator Liz Krueger and assemblymember Anna Kelles, both Democrats, are leading the charge with their proposed bill.
Krueger emphasized the need for New York to take a step back and reevaluate its approach to data centers, which she described as “gunning for New York.” She believes that a temporary pause is necessary to prevent utility customers from bearing the brunt of potential consequences.
Meanwhile, Governor Kathy Hochul has unveiled a new initiative called Energize NY Development, aimed at modernizing the energy grid for large users like data centers. This initiative also includes measures to ensure that these facilities contribute their fair share to the grid.
Techcrunch event
Boston, MA
|
June 23, 2026

