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Data Center Fined $1.07 Million for Operating Without Permits

DataOne has been fined $1.07 million by New Jersey's Department of Environmental Protection for operating 62 natural gas generators without the required permits. The penalty highlights risks associated with powering up facilities before grid readiness.

28 September 2026
Data Center Fined $1.07 Million for Operating Without Permits

DataOne, the company behind New Jersey's largest data center expansion, has been fined $1.07 million by the state's Department of Environmental Protection (DEP). The penalty stems from the company's operation of 62 natural gas generators without the necessary permits at its Vineland facility.

The DEP stated that natural gas generators emit pollutants like carbon dioxide and nitrogen oxides, though they are generally less polluting than diesel alternatives. However, operating these generators requires specific environmental permits, especially when used as backup power during grid outages.

"Natural gas generators are often deployed as a stopgap measure, allowing users to begin operating while they wait to connect to the electrical grid," explained Allen Schaeffer, executive director of the Engine Technology Forum. He noted that U.S. EPA regulations govern generator use and emissions profiles.

This case underscores the regulatory challenges and potential financial repercussions for data centers powering up before securing all necessary approvals. It emphasizes the importance of adhering to environmental regulations and ensuring grid infrastructure is prepared for new energy demands.

Original source: inc.com