Former NJ Assemblyman Urges Governor Sherrill to Pause AI Data Centers Over Power Grid Concerns
Former New Jersey Assemblyman Jamel Holley is urging Governor Mikie Sherrill to issue an executive order to temporarily suspend approvals for AI data centers and other high-energy computing facilities. This call stems from concerns about the state's electric grid capacity and its ability to handle increased demand. Holley believes a pause is necessary to evaluate the grid's stability and protect consumers from related energy costs.
Former New Jersey Assemblyman Jamel Holley has called on Governor Mikie Sherrill to enact an executive order imposing a temporary moratorium on new AI data center projects and other high-energy computing facilities in the state. Holley's request is driven by significant concerns regarding the stability and capacity of New Jersey's electric grid.
He highlighted ongoing operational alerts from PJM Interconnection, the regional power grid operator, which has urged reduced electricity consumption across its territory due to high demand, generator outages, and transmission line overloading, exacerbated by extreme summer heat. Holley emphasized that this temporary suspension would complement pending legislation, like the Burzichelli-McKeon bill, aimed at shielding utility customers from the financial burden of large data centers.
Holley's proposal also requests that municipalities provide inventories of existing and planned data center projects to the New Jersey Board of Public Utilities (BPU). He further recommends that the BPU conduct a comprehensive formal assessment, including public hearings, to gather input from residents, government agencies, utility experts, and environmental organizations, before any further approvals are granted.
While not opposing economic development or artificial intelligence, Holley insists that a cautious approach is essential to prevent uncontrolled energy demands from jeopardizing critical infrastructure and services for homes, hospitals, schools, and businesses across New Jersey.