New York became the first US state to freeze large data center construction for one year over concerns about power costs, water use and AI-driven energy demand.

During this one-year pause, the state seeks to create a regulatory framework that will evaluate and address how data centers impact the environment, energy use and more.

New York Gov. Kathy Hochul’s order imposing a year-long moratorium on large new data centers in the state comes amid growing opposition to massive data center buildouts to power…