Gov. Mikie Sherrill’s administration has hit a controversial Vineland data center with a $1.07 million penalty for installing and operating 62 large natural-gas generators without required state permits, the largest enforcement action against a data center in New Jersey history.
The Department of Environmental Protection issued an administrative order and civil penalty against DataOne after inspectors visiting the Cumberland County facility on July 29 found the generators operating without permits required under the state Air Pollution Control Act.
The generators were not present during DEP’s previous inspection of the site in December 2025.
“Today, we are taking action against Data One in Vineland for violating New Jersey pollution law with a $1.07 million fine, the largest in state history,” Sherrill said. “I said from the beginning that we are going to hold data centers accountable, period.”
The enforcement action comes as Sherrill has moved to impose new guardrails on the rapidly growing industry, including laws addressing data centers’ energy costs and requiring disclosure of their energy and water use.
Each of the 62 generators has a capacity of 1,982 kilowatts, according to DEP. State law requires generators with a capacity of 37 kilowatts or more to obtain a preconstruction permit and valid operating certificate.
DEP ordered DataOne to immediately apply for and obtain the required permits or cease operating the generators.
Natural-gas generators emit carbon dioxide, nitrogen oxides, carbon monoxide, and other combustion-related pollutants.
“This enforcement action – by far the largest ever taken against a data center in New Jersey and possibly one of the largest such actions in the nation – sends a clear message that these facilities will not be constructed or operated with impunity in this state,” said DEP Commissioner Ed Potosnak.
“The Sherrill administration demands accountability and corporate responsibility in the construction and operation of data centers and is committed to putting in place legal and regulatory guardrails that protect ratepayers, communities and the environment,” he said.
The Vineland project has already attracted scrutiny over its size, energy demands and environmental impact. DataOne is developing the facility for Nebius, which plans to operate servers and GPU infrastructure at the site. Nebius has said construction remains underway and that it expects the facility to become operational in 2027.
Reports about the project’s use of generators have prompted concerns from residents and environmental groups about air pollution, noise and the demands data centers could place on New Jersey’s electric grid and water supplies.
Allison McLeod, interim executive director of the New Jersey League of Conservation Voters, praised the enforcement action while calling for additional restrictions on the industry.
“Holding predatory data centers accountable is essential to protecting New Jersey families, local businesses and our shared environment,” McLeod said. “Across our state, power-hungry data centers are jacking up electricity costs, threatening our quality of life, polluting our air and consuming vast amounts of local water.”
“Today’s enforcement action is a vital next step in holding Big Tech accountable and putting corporate polluters on notice that they cannot make record profits at the expense of New Jersey communities,” she said.