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Democrats in New York propose moratorium on new data centers

The bill requires state agencies to assess environmental and grid impacts during a three-year permit pause amid concerns over rising energy demand from data centers.

  • On Friday, state senator Liz Krueger and Assemblymember Anna Kelles announced a bill imposing a three-year moratorium on new data center permits and projects exceeding 20 megawatts in New York state.
  • In recent months, lawmakers say extreme energy needs from AI and other data centers prompted the proposal, citing the New York Independent System Operator's 1.6 gigawatt shortfall projection last year and a Union of Concerned Scientists study last month.
  • Assemblymember Jessica González-Rojas explained, `Data centers are being built rapidly and with little meaningful oversight, despite the serious strain they place on our energy system, water resources, and local communities`.
  • Under the proposal, the Department of Environmental Conservation and the Public Service Commission must report on impacts and recommend regulations, with Food & Water Watch calling it the `strongest data center moratorium bill in the country`.
  • The announcement makes New York at least the sixth state to introduce legislation pausing data center development, with Senator Bernie Sanders and Governor Ron DeSantis fueling national momentum.
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Politico broke the news in on Friday, February 6, 2026.
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