Sherrill Administration Issues $1 Million Fine to Vineland Data Center
The New Jersey Department of Environmental Protection has fined DataOne data center in Vineland, Cumberland County, $1.07 million for operating 62 natural-gas power generators without required permits. This action is part of the Sherrill Administration's comprehensive plan to regulate data centers' impact on energy, water, and communities through new legislation and guidance.
The New Jersey Department of Environmental Protection (DEP) announced a $1.07 million fine against DataOne data center in Vineland, Cumberland County, for operating 62 large natural-gas power generators without the necessary DEP permits. This action, stemming from a July site inspection, marks the largest enforcement of its kind against a data center in New Jersey.
DEP Commissioner Ed Potosnak stated that this fine sends a clear message about accountability in data center construction and operation. The generators emit carbon-dioxide, nitrogen oxides, carbon monoxide, and other pollutants, requiring preconstruction permits and operating certificates for any unit with 37-kw capacity or higher. DataOne has been ordered to immediately apply for permits or cease operations.
Governor Sherrill's administration is implementing a four-pillar plan to ensure responsible AI infrastructure development. This includes recent legislation (S3379/A4096) signed on August 27, mandating semiannual reports from data centers to the New Jersey Board of Public Utilities (NJBPU) on their energy and water use. Additionally, July legislation requires data centers to source their own clean energy and establishes a separate rate class to protect ratepayers. The administration also announced statewide guidance for municipalities to negotiate community benefits agreements (CBAs) and offers technical assistance from the New Jersey Economic Development Authority, DEP, and BPU.