Hochul urged to pull plug on AI data centers

(The Center Square) — Green groups are calling Gov. Kathy Hochul and state lawmakers to set a three-year statewide ban on data centers used to power artificial intelligence computer systems.

In a letter to Hochul, a coalition of environmental groups led by California-based Food and Water Watch called the “explosive growth” of data centers “one of the biggest affordability and environmental threats of our generation” urged Albany policymakers to pause its expansion.

“This expansion is rapidly increasing demand for energy, driving more fossil fuel pollution, straining water resources and raising electricity prices,” they wrote. “All this compounds the significant and concerning impacts data centers are having on society, including lost jobs, social instability, and concentration of wealth.”

The groups called on Hochul to support a proposal, pending in the state Legislature, that would halt new data centers over 20 megawatts for three years. The Democratic-backed measure would require the state Department of Environmental Conservation to conduct an environmental review of data centers and issue new rules to prevent higher costs for energy consumers.

New York currently has more than 130 data centers, with several large-scale projects proposed or under construction, according to lawmakers backing the proposed moratorium.

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“Massive data centers are gunning for New York, and right now we are completely unprepared,” state Sen. Liz Krueger, a Democrat and one of the bill’s primary sponsors, said in a statement. “It’s time to hit the pause button, give ourselves some breathing room to adopt strong policies on data centers, and avoid getting caught in a bubble that will burst and leave New York utility customers footing a huge bill.”

Like many states, New York is struggling to balance the energy demands of the artificial intelligence industry without driving up electricity costs or disrupting regional power grids. Lawmakers in at least five other states — Georgia, Maryland, Oklahoma, Vermont, and Virginia — have filed bills to set proposed moratoriums on new data centers.

In Congress, liberal firebrand Vermont Sen. Bernie Sanders has called for a “blanket moratorium” on data center permitting nationwide.

To be sure, New York has been at the forefront of a push to regulate the emerging AI industry, even as the Trump administration vows to scuttle state regulations it claims would cripple development of the technology.

Last month, Hochul signed a bill that sets new safety regulations on major AI companies and requires disclosure within 72 hours if a company believes harm may be imminent from one of their platforms. She has also filed a bill that would ban the use of AI generated content for political ads at least 90 days before federal, state or local elections.

President Donald Trump signed an executive order in early December that limits states’ ability to regulate artificial intelligence and upend existing laws. The order came after Congress failed to pass a bill with similar regulations. He has pledged to punish states that don’t comply.

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