Enr iconEnrSep 23, 2026 ~5 min source read

NJ Department of Environmental Protection Fines DataOne $1.07M for 122.9 MW of Unpermitted Generators at Vineland AI Data Center

Regulators say DataOne installed and operated 62 natural-gas engines without required air permits; the company disputes the finding but will apply for permits while the project transitions to fuel cells.

NJ Fines Data Center $1M Over 123 MW of Unpermitted Generation

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New Jersey fined DataOne $1.07 million after a July 29 inspection found 62 Caterpillar G3516H natural-gas engines (1,982 kW each) installed and operated without required air permits, totaling about 122.9 MW.

The Vineland site is moving toward a permanent on-site, off-grid power design built around Bloom Energy fuel cells: about 250 MW guaranteed capacity and 328 MW installed capacity.

New Jersey's Department of Environmental Protection (NJDEP) assessed a $1.07 million civil penalty against DataOne after finding nearly 123 megawatts of natural-gas generation installed and operating at the company's AI data center in Vineland without required state air permits.

A July 29 NJDEP inspection identified 62 stationary Caterpillar G3516H reciprocating engines at the Vineland facility. Each unit is rated at 1,982 kilowatts, giving the temporary generator fleet a combined nameplate capacity of approximately 122.9 MW.

DataOne disputes the state's finding about the temporary generators but said it will apply for the required air permits while continuing to engage with NJDEP. The company is also managing the site build for Nebius, which will operate servers and GPU infrastructure at the facility.

Context for power supply at the site

The generators were described as temporary power infrastructure as the site moves toward a permanent, off-grid power solution centered on Bloom Energy fuel cells. Bloom is contracted to install, operate, and maintain fuel-cell systems in three phases, delivering about 250 MW of guaranteed capacity and about 328 MW of installed capacity. Site plans also include chiller and water-treatment buildings, LNG infrastructure, and Megabay structures.

NJDEP framed the penalty as the largest enforcement action it has taken against a data center in the state and possibly one of the largest in the nation. The agency signaled that it will pursue enforcement where projects install and operate significant stationary generation without required preconstruction permits and operating certificates.

  • DataOne must decide whether to submit the permit applications within 45 days or to halt generator installation and operation.
  • The timeline and outcome will affect the immediate power strategy for the Vineland facility as it transitions to fuel cells.
  • The department may seek additional penalties tied to any financial advantage the company gained by operating without permits.

NJDEP's enforcement action ties a large civil penalty to the presence and operation of a 122.9 MW fleet of gas-fired generators at an AI data center. The site is planned to move to large-scale fuel-cell capacity, but the agency requires formal permitting for the temporary generation that was observed in operation during its inspection.

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