Albany Democrats poised to impose 1-year ban on new AI data center construction in NY
New York could become the first state to place a moratorium on building massive new AI data centers, as legislators plan to pass a one-year ban on construction of the energy-devouring facilities amid backlash.The state legislature will vote on a bill to prevent new data centers from being built in the Empire State for 12 months over concerns of their impact on surrounding communities.
“We intend to pass it,” Assembly Speaker Carl Heastie (D-Bronx) told reporters Tuesday.But Gov.
Kathy Hochul, who has hinted at her disapproval, will need to sign off on the legislation for it to become law.The data centers have sparked an outcry from diverse groups concerned about straining communities’ energy supply, driving up already sky-high electric utility rates, increasing environmental pollution and complaints about Big Tech and AI interests trampling on neighborhoods.The measure is meant to be a compromise, as a different bill would have imposed a three-year ban on construction.The legislation was introduced Monday by state Sen.
Kristen Gonzalez and Assemblymember Didi Barrett (D-Poughkeepsie), chair of the energy committee.Under the new bill, the state Department of Environmental Conservation must complete an impact study in 18 months, recommending new regulations and oversight and hold public hearings before issuing permits to companies.The legislation would also impose green energy use standards in data centers, requiring them to derive at least one-third of their electricity consumption from renewable sources from 2030 to 2034 and at least two-thirds from 2035 to 2039.Companies seeking to build data centers would also be subject to bargaining with unions in the construction trades and abiding by New York’s hefty prevailing wage standards.The bill faces opposition from the Business Council of New York State and other corporate advocates.But Ithaca Assemblymember Anna Kelles (D-Tompkins) said the moratorium is needed to assess environmental impacts.“We need a p...