Utility Tariff Analysis · Updated September 2026

New York's Energize NY Development Initiative: What It Means for AI Data Center Siting in New York

Large loads connecting to New York's transmission and distribution grid are the subject of a new proceeding the New York Public Service Commission launched in February 2026 to execute Governor Hochul's Energize NY Development initiative — reviewing interconnection processes, cost-allocation mechanisms and tariff structures so that large loads pay their fair share of grid upgrade costs rather than shifting them to other ratepayers.

New York at a glance: industrial power about 7.8¢/kWh (EIA-based, indexed to April 2026) · grid queue about 54 months · data center equipment tax exemption: none. Indicative figures from the SCR AI Build Configurator v1.4.0.

New York AI data center power map: New York's Energize NY Development Initiative large-load tariff

New York's Energize NY Development Initiative

NY

Con Edison / National Grid / NYSEG (statewide PSC proceeding)

Case 26-E-0045 (large loads proceeding)

Regulatory docket / filing reference

Large loads connecting to New York's transmission and distribution grid

Who the tariff applies to

Large loads connecting to New York's transmission and distribution grid are the subject of a new proceeding the New York Public Service Commission launched in February 2026 to execute Governor Hochul's Energize NY Development initiative — reviewing interconnection processes, cost-allocation mechanisms and tariff structures so that large loads pay their fair share of grid upgrade costs rather than shifting them to other ratepayers.

Also active in New York: As of January 2026, NYISO's interconnection queue held 48 large-load projects totalling more than 11 GW of new demand. In June 2026, FERC directed NYISO to show cause why its tariff should not be found unjust and unreasonable for failing to adequately address large-load interconnection — with tariff revisions targeted for NYISO Board approval and FERC filing by December 2026.

New York at a glance: large-load tariff threshold, docket and who it applies to

Named Projects Already Underway

CustomerLocationDetails
MicronClay, NY (National Grid)$100 billion semiconductor manufacturing facility for memory chips; National Grid approved construction of a two-mile, 345-kilovolt transmission line

Policy Update, 1 October 2026

A one-year statewide moratorium, set by executive order on 14 July 2026, pauses environmental permits for new data centres of 50 MW or more; existing sites and issued permits are not affected. On 18 September 2026 the governor said she will pursue legislation to repeal sales tax exemptions for large data centres. Nearly 12 GW of data centre load now sits in the NYISO queue, and the SCR AI Build Configurator models a 54-month queue for New York, up from 42. At the federal level, FERC issued show-cause orders on large-load interconnection to all six RTOs and ISOs on 18 June 2026, and PJM filed a framework on 13 August 2026 under which new loads of 50 MW or more that do not bring their own capacity face curtailment ahead of other demand response from 1 June 2027.

Figures compiled from the Edison Electric Institute's "Large Load Projects and Tariffs" (September 2026) member-company summary and public regulatory filings. Confirm current tariff terms directly with Con Edison / National Grid / NYSEG (statewide PSC proceeding) and the relevant state public utility commission before relying on any figure for a capital decision.

Weighing New York against another state or a Canadian province with a different rate and interconnection picture entirely? Run both sides of the comparison through our licensed AI data center cost configurator — it applies each jurisdiction's actual power rate, tax treatment and large-load tariff rules to the same seven build configurations.

Named data center projects underway in New York Named Projects Already Underway: New York's Energize NY Development Initiative: What It Means for AI Data Center Siting in New York

Model This State on Your Own Site

Every figure above comes from the same power-cost and tariff dataset behind the SCR AI Build Configurator — a licensed, embeddable widget that models seven data center build configurations against all nine Canadian provinces and all 50 US states plus DC, returning capital expenditure by line item, energy cost, revenue by commercial structure, EBITDA and payback.

LicencePrice (CAD)Who it suits
Standard$4,000 / domain / yearAdvisors who need three lease-model configurations and a clipboard summary
Pro$10,000 / domain / yearConsultants who send CSV deliverables to clients and want all seven configurations
EnterpriseFrom $25,000 / year, up to 3 domainsDevelopers and EPC firms who want the model on their own cost basis with attribution removed

Not ready for an annual licence? A one-time Site Screening Report ($950, one site) runs the same model for a single build without embedding anything.

Model a New York data center build in the SCR AI Build Configurator: CapEx, power cost, EBITDA and payback Model This State on Your Own Site: New York's Energize NY Development Initiative: What It Means for AI Data Center Siting in New York

Compare New York With Nearby States

Large-load rules change sharply at state lines. See how the neighbouring utilities handle data center and high-density loads before you shortlist a site.

Frequently Asked Questions

What is New York's Energize NY Development Initiative?

Large loads connecting to New York's transmission and distribution grid are the subject of a new proceeding the New York Public Service Commission launched in February 2026 to execute Governor Hochul's Energize NY Development initiative — reviewing interconnection processes, cost-allocation mechanisms and tariff structures so that large loads pay their fair share of grid upgrade costs rather than shifting them to other ratepayers.

Why did Con Edison / National Grid / NYSEG (statewide PSC proceeding) introduce this large-load structure?

To ensure the cost of new generation, transmission and distribution infrastructure built to serve very large customers, chiefly hyperscale data centers, is paid for by those customers rather than spread across the general rate base of residential and small commercial ratepayers.

What large data center projects are already active in New York?

As of January 2026, NYISO's interconnection queue held 48 large-load projects totalling more than 11 GW of new demand. In June 2026, FERC directed NYISO to show cause why its tariff should not be found unjust and unreasonable for failing to adequately address large-load interconnection — with tariff revisions targeted for NYISO Board approval and FERC filing by December 2026.

Does this tariff replace New York's standard commercial and industrial rates?

No. New York's Energize NY Development Initiative sits above Con Edison / National Grid / NYSEG (statewide PSC proceeding)'s standard commercial and industrial rate schedules and applies specifically to customers that meet or exceed the large-load threshold described above. Smaller commercial and industrial loads continue to be billed under existing rate schedules.

How can I model a New York data center build against this tariff and other states?

The SCR AI Build Configurator applies New York's power cost, tax treatment and large-load tariff rules alongside all other US states and Canadian provinces, so a New York scenario can be compared line-by-line against any alternative site.