New Mexico Lawmakers Propose Statewide Moratorium on Data Centers

Democratic state legislators in New Mexico announced plans to introduce a bill in the next legislative session that would impose a statewide moratorium on the construction of new large‑scale data centers. The proposal, backed by Representatives Eleanor Chávez, Micaela Lara Cadena, Angelica Rubio and Senator Carrie Hamblen, calls for a pause while the state creates a framework to assess impacts on water resources, electricity use, emissions, ratepayers and overall community benefits.

Lawmakers cite the rapid development of projects such as the controversial "Project Jupiter" in southern New Mexico, which they say moved forward without adequate scrutiny of water consumption, energy demand and environmental permits. The moratorium would also address a "microgrid loophole" that allows data‑center operators to circumvent the state's Energy Transition Act. Local jurisdictions, including Santa Fe County and Socorro County, have already enacted their own data‑center moratoriums, reflecting growing concern over the industry’s strain on limited water supplies and rising electricity costs for residents.