New York Gov. Kathy Hochul signed an executive order Tuesday morning placing a one-year hold on permits for new “hyperscale” data centers — those with a capacity above 50 megawatts. The moratorium, the first of its kind in the nation, was taken so that the state can have more time to plan regulations, according to a release from the governor’s office.
“New York will lead the way in creating the strongest standards in the nation for data center development,” Hochul said in the statement. Her action brings New York to the forefront of a national debate on data centers and their long-term effects on the communities they are built in, though the state was not yet a top destination for data center developers.
It puts the development of around 20 hyperscale centers around the state on hold — including data center developer TeraWulf’s plans for a 400 megawatt center in Lansing.
That center, set to be built on the site of the old Milliken power plant and entitled Cayuga Data in official filings, faced strong opposition from local groups like No Data Center FLX and environmental watchdog Cayuga Lake Environmental Action Now! More than 20,000 people have signed a petition opposing the proposed center.
The groups backed Hochul’s effort but urged her to take stronger steps to limit data center development.
“The EO is a good start,” a No Data Center FLX spokesperson wrote to The Sun, “and we will continue advocating for Gov Hochul to sign the Responsible Data Center Act,” a sweeping bill that contains a moratorium on data center development and separates the rates consumers pay for utilities from those data center operators do.
John Dennis, the founder and president of CLEAN!, wrote that he was “delighted” with the news.
“We absolutely expect this will impact [TeraWulf’s] process,” No Data Center FLX added, because the order targets developments without any permit or “other form of permission.” TeraWulf’s Lansing site does not currently have any approved permits.
A Lansing Planning Board meeting in April was packed with No Data Center FLX protestors, who wore red shirts to signal opposition to the 438-acre project. While the board determined TeraWulf’s plans were incomplete at the time, the organization called the proposal an “irrevocable change” to the area.
No Data Center FLX and CLEAN! are also suing TeraWulf and the Lansing Board of Zoning Appeals for the center’s current classification as a “general processing facility,” a term not defined in Lansing’s zoning code, that makes it easier for the development to proceed.
That lawsuit will continue, Stephen Daly, the lead attorney for the environmental groups, told The Sun, because the Lansing ZBA’s decision remains in effect.
TeraWulf and its attorney did not respond to a request for comment.
Atticus Johnson is a member of the Class of 2028 in the College of Arts and Sciences. He is a news editor for the 144th Editorial Board and can be reached at ajohnson@cornellsun.com.
