TOWN OF TONAWANDA, N.Y. (WKBW) — The developer behind a proposed $2B AI data center on River Road in the Town of Tonawanda says the project is not on hold, but the process has been temporarily delayed.
According to Riverview Innovation & Technology Campus, the availability of power and potential upgrades to existing transmission infrastructure are major factors in making the project possible. Due to those factors, it has been having discussions with the New York Independent System Operator (NYISO) and National Grid, including the potential costs and timelines, and while it awaits further details and clarification, it has temporarily delayed the project's SEQRA and site plan review process with the Town of Tonawanda Planning Board.
You can read the full statement released to 7 News on Wednesday below:
"There has been a great deal of public discussion – and confusion – surrounding the status of a proposed data center development at the Riverview Innovation and Technology Campus. To be clear, the project is not on hold, and we still firmly believe that our proposed project represents the best avenue to return this historically contaminated site back to active and productive economic use for Tonawanda and Western New York.
The availability of power and any potential upgrades to existing transmission infrastructure that may be needed are major factors in making the project possible. We have been having discussions with the New York Independent System Operator and National Grid on those issues, including the potential costs and timelines involved. While we await further details and clarification from NYISO and National Grid, we have temporarily delayed the project's SEQRA and site plan review process with the Town of Tonawanda Planning Board. Once we have all of the necessary information from NYISO and National Grid to chart a path forward, we will resume the Town review process. At this time, we have every intention to continue our proposed development, as we continue and complete the massive environmental clean-up effort we have been leading at the site for the past several years. Others left the site for dead. We have been steadfast and transparent in our vision and commitment to resurrect it."
The proposed 500,000 square foot AI data center, which is expected to take up space on the 140-acre former Tonawanda Coke industrial site, has been an area of concern for various residents and groups. The data center would require about 300 megawatts of electricity and include a planned $50 million electrical substation. You can watch our previous report below and read more here.
WATCH: Proposed $2B AI data center at former industrial site raises questions in Town of Tonawanda
The NYISO released the following statement to 7 News on Wednesday:
"The NYISO does not approve, deny, or direct whether any project proceeds. Decisions about whether a facility is built are made through local siting approvals, state regulatory processes and agreements with the local utility. The NYISO's responsibility is to ensure that, regardless of those decisions, the grid can continue to operate reliably in the interest of the health and safety of consumers."
Residents at the Tonawanda Town Hall packed the building to listen, share their concerns and frustrations.
Although the formal review discussion was paused at Wednesday's meeting, the planning board opened the floor for residents to share their thoughts on the project.
Bridge Rauch of the Clean Air Coalition NY urged the board to weigh community needs over speed.
"This project will come back to this, this body to consider, please like consider like the highest and best use is not necessarily the fastest money that can be made, but the best, use that, that fits the community needs and the community like desires," Rauch said.
Town of Tonawanda resident Jamie Moore raised concerns about noise from the facility's cooling systems.
"Prolonged exposure above 70 decibels of sound is considered unsafe. These cooling systems typically operate at 75 to 105 decibels or greater. and the sound emitting from a data center wouldn't just be prolonged, it would be constant because the servers run 24/7 and they require perpetual cooling," Moore said.
A Buffalo native who identified himself only as Jaden drew a comparison to the Love Canal environmental disaster.
"Clay was poured over toxic waste in the Love Canal neighborhood in 1953 and continues to affect people today. If we build this plant in 2026, how many years will the negative effects reach our friends, our family, generations to come? How many people is this going to affect and how many people does it need to affect for this plant to be a bad idea?" Jaden said.
One unidentified resident called for a pause on the project to allow time for research.
"The only way that we know what's going to happen with this place is to look at other places like it. And the only way we're going to know how much time we're going to need to gather data is to have a moratorium. We need a 3-year moratorium," the resident said.
