State lawmakers, advocacy groups, community leaders and more than 100 alarmed New Yorkers rallied at the Capitol this morning, calling for quick passage of S.9144/A.10141, a bill that would enact a pause on new hyperscale data center construction in the state. Bill sponsors and cosponsors spoke along with environmental and consumer advocates, faith leaders, small business owners, local elected officials and community leaders. The rally was followed by activist lobby meetings with 50 legislative offices to discuss the urgency of passing the bill in the next month.
Introduced by State Senator Liz Krueger and Assemblymember Anna Kelles, with Senator Kristen Gonzalez as co-prime sponsor, the bill would create a temporary, three-year pause on new data-center development while the Department of Environmental Conservation (DEC) and the Public Service Commission (PSC) complete comprehensive reports evaluating the industry’s current and projected effects on electricity usage and rates, water resources, air quality, greenhouse gas emissions and electronic waste, and issue new regulations to mitigate those negative impacts.
Recently more than 150 community, consumer, environmental and faith organizations from throughout New York called for quick passage of the moratorium bill.
“If we really want to protect New Yorkers from skyrocketing energy costs over the next decade, one of the simplest but most important things we can do is hit the pause button on new energy-guzzling data centers,” said State Senator Liz Krueger. “The hyperscale data centers targeting New York communities bring with them a host of negative impacts, from pushing up energy costs to driving fossil fuel consumption to producing headache-inducing noise pollution for miles around. Regulators and lawmakers need time to develop comprehensive policy solutions for smart data center development – that’s why we need a moratorium now.”
“New York is increasingly becoming a major target for rapid AI and data center expansion because of our cool climate, abundant fresh water, available land, and existing energy infrastructure,” said Assemblymember Anna Kelles. “These facilities can place enormous demands on our electric grid, water resources, and waste systems, with real economic and environmental consequences. This legislation creates the temporary pause we need to fully assess the impacts on our air, water, soil, waste stream, and farmland, and to put safeguards in place before this industry expands further in New York. It also requires the Public Service Commission to establish protections for ratepayers so residential customers and small businesses are not left paying for massive new energy infrastructure costs driven by private data center development. If we do not plan ahead, New Yorkers could end up bearing the environmental and financial costs for decades to come.”
“We know enough about data centers to be certain that the unfettered expansion of this aggressive industry is one of the biggest environmental and social threats of our generation. This expansion would drastically increase demand for dirty energy, strain water resources, and raise electricity rates for families and small businesses,” said Eric Weltman, senior New York organizer at Food & Water Watch. “New Yorkers refuse to pay the price while Big Tech rakes in the riches. This strongest-in-the-nation moratorium bill is logical, it’s timely, and it will deliver the results we need.”
Across the United States and increasingly in New York, data-center development has accelerated at a pace that has outstripped existing planning, regulatory, and environmental review frameworks. Large-scale facilities place substantial new demand on the electric grid, driving up electricity costs for residential and commercial ratepayers, increasing reliance on fossil-fuel “peaker” plants during periods of peak demand, and complicating compliance with state greenhouse gas reduction requirements. Many data centers also rely on significant water withdrawals and discharge large volumes of heated or chemically treated wastewater, raising concerns for local water quality and aquatic ecosystems.
“The rapid growth of AI, cryptocurrency, and data centers in New York is overwhelming our utilities, undermining our environment, harming public health, and causing energy bills to skyrocket – all because of the extraordinary power these facilities demand,” said Roger Downs, Conservation Director, Sierra Club Atlantic Chapter. “And with an estimated 10 GW worth of new data centers waiting in the wings, New York needs some breathing room. A three year moratorium will give us time to study this emerging industry, restrict its most harmful elements and establish safeguards to protect our communities, our environment and the affordability of our energy bills.”
“New Yorkers are already struggling with unaffordable utility bills. Without strong consumer safeguards, ratepayers could be left paying even more due to large energy demands and infrastructure related costs to serve some of the largest and most profitable companies in the world. PULP supports this legislation to create a 3-year moratorium as it will provide NYS with more time to study how AI data centers for the grid, the environment, and everyday utility consumers,” said Laurie Wheelock, Executive Director and Counsel, the Public Utility Law Project.
“Communities across New York are being asked to bear the burden of an unchecked data center boom that threatens our air, water, energy grid, and public health. Families deserve clean air to breathe, safe water to drink, and the right to know how these massive facilities will impact their communities before deals are made behind closed doors. New Yorkers should not be forced to sacrifice their health, quality of life, and environment so corporations can maximize profits. Our future should never be treated as the cost of doing business,” said Yvonne Taylor, Vice President of Seneca Lake Guardian and President of the National Coalition Against Cryptomining.
“The rapid build out of Hyperscale Data Centers poses a major threat to the people and communities of this state. Passing this moratorium legislation will ensure that we have the time we need to develop appropriate strategies to protect our communities from further environmental and economic harm at a time when so many are already struggling. Now is the time for our elected officials to step up and have the backs of their constituents and not Big Tech,” said Harry Moran of Third Act Upstate New York.
“Communities across New York have been blindsided by data center proposals and they are furious. People who are struggling to pay their energy bills should not have to compete with Bitcoin mining operations and AI servers for power from the grid. The legislature can stop this right now with a moratorium and give communities the time and protection they deserve,” said Jessica Azulay, Executive Director of Alliance for a Green Economy.
“New York must act to protect the public,” said Eric Wood, Senior Environmental Program Coordinator at NYPIRG. “The focus of this legislation is to pause the issuance of permits for new, large data centers while the state studies the various potential impacts of these industrial sites on New York’s air quality and water resources.”
“New York cannot afford to repeat the mistakes of the past by rushing to accommodate commercial interests without first examining the consequences. Data centers pose serious threats to our energy supply, water resources, climate goals, and communities. The League of Women Voters of NYS urges the State Legislature to pass S9144/A10141 and give regulators the time needed to study these impacts before issuing new permits,” said Erica Smitka, Executive Director, League of Women Voters of New York State.
“NY Renews supports a moratorium on the approval and construction of new data centers in the state because we recognize that their unrestricted and unregulated growth undermines our climate and environmental justice mandates. While we continue to support local fights, like the efforts of the Tonawanda Seneca Nation to stop a massive data center at STAMP on the border of their reservation territory, we will work to ensure that all communities have necessary protections before projects come their way. With new proposals popping up by the day, a moratorium is necessary this year, especially during a shortened legislative session, to ensure that data centers don’t raise bills, pollute communities, or undermine environmental or Indigenous justice,” said Ryan Madden, Indigenous Solidarity Director, NY Renews.
