Governor Kathy Hochul held a roundtable in Western New York to highlight her Executive Order creating the nation’s first one-year moratorium on new hyperscale data centers. The governor’s office says the pause will temporarily halt State environmental permits for up to one year while state agencies develop a regulatory framework meant to protect ratepayers, the energy grid, natural resources and local communities.
According to the governor’s remarks, the moratorium is intended to give state officials time to set “the strongest standards for data center development and create a blueprint to support localities.” Hochul told attendees she currently has more than 30 proposed hyperscale projects before the state and warned that powering every proposed project could overwhelm the grid.
The governor highlighted both the opportunities and risks of artificial intelligence and large data centers, noting New York’s investment in AI research. At her direction, the state is building what the release describes as the largest supercomputer dedicated to AI and public good at the University at Buffalo, known as Empire AI.
Local issues featured in the roundtable included a large proposed data center at the Tonawanda Coke site. The governor’s remarks echoed local concerns about electricity demand, environmental impacts, land use, noise and the potential lack of sustained local employment if projects close. Hochul said she wants a robust community investment framework so smaller towns that lack planning and economic development capacity receive protections and benefits, including possible contributions toward grid reinvestment and local amenities.
The governor’s office said audio, video and photos from the event are available through its media channels; a rush transcript of the remarks was released by the office.
Hochul framed the moratorium as providing both protection for New Yorkers and regulatory certainty for businesses: by establishing clear standards and expectations, the state can allow responsible development that does not ask residents to “compromise” their communities.
