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New Jersey governor moves to regulate AI data centres, requiring them to cover their own infrastructure costs
New Jersey Governor is introducing regulations requiring AI data centres to cover their own infrastructure costs instead of passing them to local communities. The plan also mandates energy and water usage reporting twice a year.
The Governor of New Jersey is moving to regulate AI data centres across the state as towns push back against the energy, water and noise burdens they bring. The proposed regulations would require data centres to cover their own infrastructure costs rather than passing them on to local communities.
The governor framed the plan as making big tech companies improve the power grid rather than asking New Jersey residents to subsidise their operations. 'Instead of asking New Jerseyans to subsidise big tech, we're asking big tech to improve our grid, making it more efficient and reliable and lowering costs for everyone,' the governor stated.
Under the proposed rules, data centres would also be required to report their energy and water consumption to the state at least twice a year. This transparency measure aims to give regulators and communities a clear picture of the environmental impact these facilities have on local resources.
The move comes as AI data centres are proliferating rapidly across the United States, driven by surging demand for artificial intelligence computing power. Many communities have raised concerns about the strain these facilities place on local power grids, water supplies and the noise generated by cooling systems.
Residents expressed mixed reactions to the plan. Some welcomed the additional oversight, while others reserved judgement until they could see whether the regulations would be effectively enforced. The initiative positions New Jersey as one of the first states to impose comprehensive regulatory requirements on AI data centre operations, as reported by News 12 New York.