PORTLAND, N.Y. (WKBW) — Residents in Portland expressed relief after Gov. Kathy Hochul announced a statewide moratorium on hyperscale data centers.
Gov. Hochul signed an executive order Tuesday imposing the country's first statewide moratorium on hyperscale data centers, which house thousands of computer servers and require massive amounts of energy and a steady supply of water to keep cool.
Since April, residents of the Portland/Brocton area have shared their concerns over a potential hyperscale data center project at the former Sugar Hills Golf Course.
"It’s an important first step in protecting communities like ourselves from the increasing demand of AI infrastructure," Matt Susskraut, a member of the Grape Belt Community Group, said.
In March, the Portland Town Board gave its "general approval" to the hyperscale data center project along Route 5. Following this meeting, residents formed the community group to advocate against the project and educate others in the community about data centers and the potential risks they pose.
"We understand that AI isn't going away, but this rapid-growth AI data center industry has been preying on small communities and rural areas, often putting pressure on the local resources and their residents," Susskraut said. "I really appreciate that the moratorium not only puts a pause, but puts a requirement to start doing research and understanding."
According to the Pew Research Center, more Americans say data centers have a negative effect on the environment, home energy costs and people’s quality of life nearby than say they have a positive effect.
One study found that data centers could represent up to 12% of all U.S. electricity consumption by 2028. Another study says that up to 90 gigawatts (GW) worth of data centers could come online by 2030.
Susskraut continued, "Maybe that will be reflected as they do their research to possibly have to expand that and extend it."
WATCH: Portland residents express relief after Hochul pauses hyperscale data centers
New York's executive order pauses state permitting for new large data centers and directs state regulators to create standards that address environmental impacts, energy demand, water usage and other factors, the governor’s office said.
“The bottom line is that progress shouldn't arrive with a higher utility bill, deleted water supply or noise pollution, so we have no choice but to address these challenges created by these massive facilities,” Hochul said at a celebratory signing ceremony in Brooklyn.
"Besides my political beliefs, as far as Governor Hochul is concerned, that moratorium sounds like a positive, but I'd like to see it in writing," Brocton resident Barry Wells said. "A lot of things happen in Albany that don't benefit the people of the state; they mostly benefit the people of New York City, and we live differently from the people of New York City. I believe the majority of the people, if they know what a data center does and how it would affect the community, they would be opposed to it, so I think it should be a larger discussion probably at our county legislator so they can put it out for us to make the decision not to go and do something without a vote."
The NYS Legislature this year approved its own moratorium bill, but Hochul's office described the legislation as complex and said it needed additional work. Instead, the governor opted for an executive order that would take effect immediately.
The Associated Press contributed to this report.
