New York Governor Kathy Hochul signed an executive order on Tuesday imposing a one-year moratorium on the construction of large new data centers. New York is the first U.S. state to halt these developments.
The construction ban applies to data centers that use 50 megawatts or more of power. The move comes amid growing concerns that the facilities fueling the artificial-intelligence boom are raising household power costs, straining water supplies, and burdening local communities.
The one-year pause will allow state officials time to formulate regulations and establish guidelines focused on the energy grid and the environment to protect residents.