NJ think tank report on AI data centers says residential electric customers getting slammed by their growth.

A new report from the New Jersey Policy Perspective, a nonpartisan think tank, highlights the growing impact of AI data centers on electricity consumption and costs for New Jersey residents and small businesses. Released on Tuesday, the report attributed much of the 20% increase in electric rates last June to the energy demands of data centers. According to the report, by 2030, data centers are projected to consume nearly 10% of the state's total electrical usage. New Jersey currently hosts 48 data centers, with an additional 12 either announced or under construction, citing data from Aterio. The Policy Perspective stated that ratepayers are "essentially subsidizing big tech companies' data center projects" through higher electricity bills, which also cover infrastructure upgrade costs. In response to these concerns, the New Jersey State Assembly recently passed a bill, 55-18, designed to mandate utilities to create special rules for data centers, aiming to protect other electricity customers from escalating costs. A similar bill is also progressing through the State Senate. The report, authored by policy analysts Alex Ambrose and Peter Chen, emphasized that despite promises of economic growth, the expansion of data centers has "harmed states and communities" due to high energy use, lack of significant long-term benefits, and state revenue losses from subsidies and credits.