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One of east coast’s largest datacenters accused of ‘violating federal law’

One of east coast’s largest datacenters accused of ‘violating federal law’

theguardian.com 27.08.2026 17:00 6 views
Thermal drone footage shows a Microsoft-backed AI datacenter powering its operations with dozens of unpermitted generatorsThe largest planned AI datacenter in New Jersey is being accused of violating federal law after a

The largest planned AI datacenter in New Jersey is being accused of violating federal law after a visual investigation found the site running dozens of unpermitted gas-powered generators. Thermal drone footage captured by the non-profit newsroom Floodlight last week showed the partly completed DataOne facility in Vineland was operating at least 45 of the site’s 62 generators at the time. The datacenter has stirred controversy since breaking ground in 2025 due to persistent noise complaints, unpermitted construction and a contentious zoning process.

It’s located about 40 miles (64km) outside Philadelphia and slated to provide AI computing power to Microsoft as part of a $17bn deal with Nebius, a Dutch AI infrastructure giant. The facility is one of many across the US which has faced opposition from local residents concerned about its impacts. Located roughly a mile from two schools, the site’s tractor-trailer-size generators emit substantial amounts of health-harming air pollution linked to asthma, heart attacks and even premature death.

Federal and state law requires DataOne “to have a final permit before bringing those generators on site, and certainly before firing them up”, former air enforcement chief Bruce Buckheit told Floodlight. Buckheit, who served under multiple Republican administrations, believes DataOne’s activities “violate federal law” and that the company should immediately stop operating the generators and pay a fine for “their illegal emissions”. A New Jersey department of environmental protection (NJDEP) spokesperson confirmed that the agency “has issued no permits, nor are any permit applications under review for power generators at the DataOne facility in Vineland”.

The spokesperson said the agency noticed the generators during a site inspection on 29 July and had yet to make “a full compliance determination”. They declined to answer follow-up questions. Buckheit said: “That one might be seeing administrative enforcement action [soon].” DataOne did not respond to questions regarding its unpermitted generators but said the company “remains committed to meeting all applicable environmental and permitting requirements”.

Nebius did not respond to requests for comment by publication. Microsoft declined to comment. The Environmental Protection Agency (EPA) told Floodlight, after being presented with its findings, that New Jersey’s regulators are responsible for air permitting over DataOne.

DataOne is the first datacenter in New Jersey seeking to build its own power plant. The controversial tactic was pioneered by Elon Musk’s datacenters along the Tennessee and Mississippi border and has since gone mainstream: nationwide, nearly 60 datacenters are planning to build their own gas plants, according to research by energy analytics firm Cleanview. The “bring your own power” strategy has resulted in years-long backlogs for gas-powered turbines, with facilities increasingly turning to even less conventional energy sources, such as modified jet engines and portable generators.

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