Five Ways New Jersey Is Trying to Rein in Data Centers
Five Ways New Jersey Is Trying to Rein in Data Centers
https://www.govtech.com/policy/five-ways-new-jersey-is-trying-to-rein-in-data-centers
Publish Date: 2026-04-27 12:14:00
Source Domain: www.govtech.com
- New Jersey is offering substantial tax incentives to attract data centers, aiming to establish itself as a hub for artificial intelligence.
- The rapid expansion of AI data centers has raised concerns among lawmakers about impacts on utility bills, water use, and the electric grid.
- Five legislative bills are being considered to regulate data centers, covering aspects like electricity costs, reporting requirements, transparency, and energy usage.
- In response to the growing energy demand, two bills seek to mandate cleaner energy sources for new data centers while another aims to ensure the use of clean energy across PJM Interconnection states.
- Despite industry pushback, New Jersey continues to court AI data center companies with a newly established $500 million tax credit program, focusing on AI innovation and job creation.
