At a glance
Inside the Vineland Data Center Power Dispute
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New Jersey environmental regulators on Sept. 22 assessed a $1.07 million penalty against the owner of an artificial intelligence data center in Vineland, NJ, after determining that the company installed and operated nearly 123 MW of natural gas-fired generation without required state air permits.
The New Jersey Department of Environmental Protection says a July 29 investigation found that DataOne had installed and operated 62 Caterpillar G3516H stationary reciprocating engines without required preconstruction permits or operating certificates. Each natural gas unit is rated at 1,982 kW, giving the fleet a combined capacity of around 122.9 MW.
The enforcement action in the Cumberland County town, 35 miles southeast of Philadelphia, is the largest New Jersey has taken against a data center, according to Gov. Mikie Sherrill’s office.
“While we disagree with the temporary generator determination, we will be applying for air permits for the temporary generators,” a DataOne spokesperson said in a statement. The company said it is communicating with the agency about its findings and the transition to fuel cells.
According to an agency administrative order, DataOne has 45 days from receipt to submit the required permit and operating certificate applications and obtain approvals. If it does not submit the requests within this period, the company must cease the installation or operation of the generators.
DataOne also has 20 calendar days from receipt to request an administrative hearing. A request for a hearing would not sustain the remedial requirements. Without a timely application, the order becomes final on the 21st and the penalty becomes enforceable.
The department may also assess an additional civil administrative penalty equal to any economic benefit obtained by DataOne for failing to comply with or delaying compliance with state requirements.
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Permanent Power Plan switches to fuel cells
The generators are serving a project with a permanent on-site power system being developed around Bloom Energy’s fuel cells.
.jpg "Aerial view of DataOne")
Construction continues at DataOne’s Vineland, NJ AI data center, where rows of natural gas generators are visible at left. The project’s permanent power system is being developed around Bloom Energy fuel cells.
Photo by Evan Simon/Courtesy Floodlight
DataOne owns and operates the facility being built for AI infrastructure company Nebius. It is the tenant and plans to install and manage the server and GPU infrastructure, while Vineland, NJ-based Northeast Precast is leading construction.
Nebius describes the permanent power system as local and off-grid. Under a May 14 agreement, Bloom will install, operate and maintain fuel cell systems in three phases, providing approximately 250 MW of guaranteed capacity and 328 MW of installed capacity, according to a Nebius securities filing.
At a special meeting on Aug. 17, the Vineland Planning Board granted an amended site plan that includes four ground mounts. and five of several floors Bloom Power areas, along with a 92,466 square meter cooling building, LNG infrastructure, a 6,750 square meter water treatment plant and almost 162,000 square meters of Megabay structures.
Nebius says the project is expected to support about 1,000 construction jobs and about 200 permanent on-site jobs.
