Technology
New York pauses permits for big new data centres
Governor Hochul's executive order halts state environmental approvals for facilities of 50 megawatts or more while officials study the grid impact.
The answer
Governor Hochul's executive order halts state environmental approvals for facilities of 50 megawatts or more while officials study the grid impact.
answer: Hochul signed an order pausing new large data centre permits statewide.
takeaways:
- Order signed 14 July 2026, first statewide pause of its kind in the US.
- Covers data centres of 50 MW or more; runs roughly one year, no fixed end date.
- Nearly 12 GW of projects sit in New York's grid interconnection queue.
What happened: Governor Kathy Hochul signed Executive Order No. 62 on 14 July 2026, immediately pausing discretionary state environmental permits for new data centres able to draw 50 megawatts or more.
The numbers: Nearly 12 gigawatts of projects sit in the New York grid operator's interconnection queue as of May 2026. More than 8 GW of that joined the queue in 2025 alone.
The details: The pause lasts until the Department of Public Service finishes a Generic Environmental Impact Statement covering grid, water, air quality and host communities. Hochul pegged it at roughly a year; reporting gives agencies until July 2027. There is no fixed end date.
The catch: Several categories are exempt: data centres mainly used for manufacturing, medical care, education or specified research; facilities majority-owned by public institutions, such as the Empire AI project; applications the DEC had already deemed complete before 14 July; and local-government permits. Contiguous sites count as a single data centre.
Who's affected: Hochul also directed the Public Service Commission to make data centres pay for their own grid upgrades or bring their own power, told Empire State Development to require union wages and labour on construction, and ordered a Community Investment Framework so host towns see direct benefits.
The context: State lawmakers separately passed the Responsible Data Center Development Act on 4 June, a one-year pause covering projects of 20 MW or more. Hochul had not signed that bill.
Why it matters: New York is the first US state to impose a statewide pause of this kind, as power and water costs become the central local fight over where AI infrastructure gets built. Axios reported on the order, and DLA Piper detailed the permit freeze.
What's next: Supporters say the pause protects electricity bills and water supplies. Some business and labour leaders warn it will push jobs and tax revenue to other states while New York studies the impact.
Sources
- N.Y. Gov. Kathy Hochul signs data center moratorium executive order — Axios, 14 July 2026
- Executive Order pauses DEC permits for data centers in New York — DLA Piper, 15 July 2026