New York’s Data Center Moratorium: Repeating the Costly Mistake of the Fracking Ban

Twelve years after former Governor Andrew Cuomo imposed a moratorium on hydraulic fracturing, New York is once again using state power to block major private-sector development. On Tuesday, Governor Kathy Hochul issued the nation’s first statewide moratorium on large data centers, halting discretionary permits from the Department of Environmental Conservation for facilities using 50 megawatts or more. A legislative bill targeting projects above 20 MW also advanced. Officials cite risks of higher electricity rates, water strain, and community burdens.

The parallel to the 2014 fracking decision is striking, and the likely outcomes for New Yorkers are equally concerning.

Cuomo announced the fracking ban in December 2014 after a lengthy review process, framing it around public safety. Though presented as temporary amid ongoing study, the policy effectively ended high-volume hydraulic fracturing in the state. The “moratorium” lingered until 2020, when the legislature made the ban permanent.