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A possible New Jersey bill requires data center transparency

The bill from New Jersey if passed requires data centers to release quarterly reports on energy and water usage.  The measure, Senate Bill 4293 and Assembly Bill 5548, would make this information available to the public. It would give regulators and local communities an insight into the often closed off industry.

New Jersey residents noticed an electricity bill spike of about 20 percent this past summer, with many thinking the hubs for artificial intelligence, cloud storage and e-commerce are the suspects for increased usage. However, some argue this measure would drive away developers from the state. Similar measures were introduced in New YorkIllinois and Georgia, yet none outline the diligence of quarterly reports. If the bill is adopted it would be a landmark as a first state to require this transparency from data centers.

“AI has a tremendous impact on resources so this reporting should occur. You’re not talking about mom and pop here or even a normal office building or even a normal data center. They have huge impacts. So I think the reporting requirements are very reasonable,” said Bob Smith, a Democratic state senator from Middlesex and chair of the State Senate Environment and Energy Committee. 

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