NJEJA Technical Primer on Large Scale Data Center Risks

What’s Happening?
 
From AI chatbots to Google Drive, data centers are the hidden infrastructure that powers everyday life on the internet. Their rapid expansion over the past few years is creating a new set of environmental‑justice problems in New Jersey; dozens of data‑center proposals are targeting water‑stressed, overburdened and grid‑constrained communities — often with very minimal public review or notice. This convergence of high power demand, massive water use, and limited community oversight is turning the Garden State into a testing ground for climate‑unfriendly, health‑hazarding technology.
 
  • Scale: As of 2024, there are roughly 1136 hyperscale facilities worldwide. A typical hyperscale facility dedicated to training AI models or hosting AI chatbots generally uses 300 megawatts (MW) or more of power, which is enough to power 100,000 homes.
  • Energy: U.S. data centers consumed over 4 % of national electricity in 2024, but over 40% of that comes from fossil fuels. This means more power for data centers, strain on the grid, and increased cost and pollution for residents. New data shows that the global fleet of hyperscale data centers has more than doubled in the past five years – rising to 1,136 facilities by the end of 2024 – and U.S. operators now account for roughly half of total worldwide capacity. The firm projects that total hyperscale capacity will double again within the next four years, driven largely by AI‑intensive workloads.
  • Water: While a “medium-sized” data center uses about 110 million gallons of water a year, a hyperscale center can use 3–7 million gallons per day. That’s about as much as a small town’s water supply over a year, such as West Orange or East Brunswick.
  • Air Pollution: Because of the size and scale of these facilities, many – if not all – need diesel backup generators, which can emit 200-600 times more nitrogen oxides (NOx) per kilowatt-hour (kWh) than modern gas plants. Often, these back-up generators run in times of peak demand or in emergency situations, which can create severe spikes of toxic air pollution and pollute the local air quality. 
  • Noise: HVAC and generator noise from hyperscale data centers can easily reach up to 96 dBA, which is well above the threshold for hearing damage for the average person. Long-term exposure can lead to ringing in the ears, change in hearing, and permanent hearing loss. 
  • Consumer Cost: As PJM and utility companies try to adjust pricing for the increased energy needs of these facilities, costs are passed onto ratepayers, i.e. every day residents. As a result, New Jersey households can expect to see energy bills rise by $20 per month or more along with rising water rates. 
  • Health & Equity: Residents living around data centers will be exposed to toxic air pollutants which can add billions in health costs nationwide. Low-income and environmental justice communities bear an increasing burden for health and safety costs per household.
  • Health & Safety: Storing large volumes of diesel on‑site creates multiple health and safety hazards. If tanks are not properly sealed, maintained, or equipped with necessary containment, leaks can contaminate soil and groundwater with acidic sediments, gums, and microbial by‑products that pose long‑term exposure risks to nearby residents.
  • Cooling Towers: Data centers generally rely on the use of cooling towers which use vast quantities of water to create mist. That mist can often migrate to nearby properties. If not properly maintained, it can cause public health issues like the growth of Legionella. Legionnaires disease, a type of pneumonia contracted by inhaling small droplets of water in the air containing Legionella bacteria, can often be contracted near cooling towers.

A Roadmap to the NJ Environmental Justice Rule

As facilities begin to comply with the rules of the Environmental Justice Law (EJ Law), it is important for communities to know how the process works, which facilities are subject to the law, and where pathways for advocacy can be found. This fact sheet can shed light on these important topics.

For questions and additional support, please reach out to us at info@njeja.org

Explore our fact sheet below:

A Quick Guide to Carbon Capture and Storage (CCS)

As carbon capture and storage (CCS) continues to be pushed as a solution to climate change by both private and public investment, NJEJA has developed this fact sheet to explain CCS, the risks to our communities, and why carbon capture is simply going to prolong our reliance on fossil fuels.

For questions, please reach out to Brooke Helmick, Director of Policy at brooke@njeja.org.

Environmental Justice Concerns with Carbon Capture and Hydrogen Co-Firing in the Power Sector

Read the latest report on Environmental Justice Concerns with Carbon Capture and Hydrogen Co-Firing in the Power Sector, prepared in partnership with the New School Tishman Environment and Design Center, Center for the Urban Environment of the John S. Watson Institute for Urban Policy and Research at Kean University, and the Center for Earth, Energy, and Democracy.

For questions, please reach out to Brooke Helmick, Director of Policy at brooke@njeja.org.

A Quick Guide to Hydrogen Production and Hydrogen Co-Firing

As the country sees a proliferation of hydrogen fuel projects through both private and public investment, NJEJA has developed this fact sheet to explain hydrogen fuel production, the risks to our communities, and how to understand the “colors” for each type of hydrogen.

For questions, please reach out to Brooke Helmick, Director of Policy at brooke@njeja.org.

Cumulative Impacts Primer

Cumulative impacts can be defined as the impacts caused by multiple pollutants, often emitted by multiple sources of pollution, and their interaction with each other and with any social vulnerabilities that exist in a community. The term is also frequently used to refer to the risks associated with the pollutants and the aforementioned interactions.

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