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Benzinga
Benzinga
Business
Namrata Sen

New York Just Hit Brakes on AI: Kathy Hochul To Reportedly Freeze New 50 MW Data Centers Amid Grid Strain

Hochul Rejects Tax Hike

New York Gov. Kathy Hochul, on Tuesday, reportedly ordered the nation’s first statewide pause on new hyperscale data centers, temporarily halting environmental permits for up to a year.

The freeze is intended to give the state time to develop rules that protect the environment, the power grid, and consumers’ electricity costs. Hochul announced a pause on approving large data centers that consume 50 megawatts or more of power, citing concerns over rising utility bills, strain on natural resources, and uncertainty for residents, reported The Hill, citing a statement from the Governor’s office.

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