New York Gov. Kathy Hochul is implementing the country’s first statewide moratorium on the construction of new, large-scale data centers, she announced Tuesday.
Hochul, a Democrat running for reelection this year, said the temporary, one-year freeze was necessary while state lawmakers draft regulations to protect energy resources. Data centers have stored computer systems in physical buildings for decades, but the growth of artificial intelligence has led to the rampant construction of controversial facilities that require large amounts of electricity and water for their cooling systems.
“We want AI companies to invest here, grow their businesses, and do well,” Hochul said in a video posted to X on Tuesday. “But when you benefit from the talent and energy of New York, we expect you to protect our resources and give back to our communities. This is a critical moment, and New York is going to take the time to get it right.”
AI data centers are reshaping our future.
— Governor Kathy Hochul (@GovKathyHochul) July 14, 2026
No one gets to build that future by asking New Yorkers to sacrifice theirs.
Today, I’m taking action. pic.twitter.com/rNZCfdn1el
Trending
The executive order immediately pauses the construction of new data centers that plan to use more than 50 megawatts of power. It also orders the creation of a “Community Investment Framework,” which instructs the Empire State Development to create guidelines for local communities to receive economic benefits from data centers.