New York Senate Bill S09144

New York 2025-2026 Regular Session

• Introduced: 2/6/26
• Refer: 2/6/26

Caption

Imposes a moratorium on the issuance of permits for new data centers; requires the public service commission to issue an order or orders to minimize the impact of new data centers on electricity and gas rates for residential, commercial, and industrial users; clarifies that certain provisions are applicable to the Long Island power authority.

Impact

The moratorium will not only pause new data center construction but will also require a comprehensive evaluation of existing and proposed data centers to address wider implications, including increased electricity consumption, the environmental costs of energy production, and the burdens placed on local infrastructures. The projected consumption from data centers is alarming, as the electricity usage could exceed that of nearly 28 million households, raising concerns around sustainability and resource allocation. Furthermore, the bill outlines that the PSC must consider public comment, fostering community involvement in the decision-making process regarding future data center operations in the state.

Summary

S09144 aims to impose a moratorium on the issuance of permits for new data centers in the state of New York. This legislation arises from the rapid expansion of data centers, which are projected to triple in number over the coming years, leading to significant environmental and financial ramifications. The bill's intent is to provide a temporary halt on new data center developments while assessing their impacts on both electricity and gas rates across all user categories—residential, commercial, and industrial. The Public Service Commission (PSC) is tasked with preparing a final report analyzing these impacts, which includes proposed measures for mitigating such effects.

Contention

The legislation is not without its points of contention. Supporters argue it is a critical step towards ensuring energy sustainability and environmental justice, especially given the alarming statistics regarding fossil fuel reliance for powering existing data centers. Conversely, opponents assert that such a moratorium could stifle economic growth and technological advancement within the state, potentially pushing data center developments to regions with less stringent regulations. The balance between economic progress and environmental stewardship remains a contentious debate within the state’s legislative discussions.