Union County, NJ – Former New Jersey Assemblyman Jamel Holley is urging Gov. Mikie Sherrill to issue an executive order temporarily suspending pending and proposed AI data centers and other high-energy computing facilities until the state’s electric grid can be fully evaluated.
Holley said the request is intended to complement, not replace, legislation already awaiting the governor’s signature that seeks to shield utility customers from bearing the costs associated with large data centers. He pointed to ongoing operational alerts issued by PJM Interconnection, the regional power grid operator serving New Jersey and 13 other states, amid high electricity demand and extreme summer heat.
Holley cites grid reliability concerns
“This temporary pause would complement legislation such as the Burzichelli-McKeon bill recently sent to the Governor, which seeks to protect consumers from bearing the cost burden of large data centers,” Holley said.
“Power grid operator PJM Interconnection has been issued a federal alert and is urging reduced electricity consumption across its entire territory,” he said. “This is driven by widespread generator outages, severe overloading on transmission lines, and a massive surge in air conditioning use from this prolonged sweltering heat.”
Holley said the state’s electric grid is critical infrastructure and argued that New Jersey should take additional precautions before allowing new energy-intensive facilities to come online.
Proposal calls for statewide review
Holley is asking the governor to suspend approvals for AI facilities and data centers that would draw electricity from the PJM grid or New Jersey utilities until conditions stabilize. His proposal also calls for municipalities to submit inventories of existing, proposed, and planned data center projects to the New Jersey Board of Public Utilities.
The proposal further recommends that the Board of Public Utilities conduct a formal assessment, including at least one public hearing with testimony from residents, government agencies, utility experts, and environmental organizations. Holley also said future approvals should prioritize hiring New Jersey’s skilled workforce and provide measurable economic benefits to local communities.
“We must act with care to prevent unchecked energy demands from these facilities from jeopardizing homes, hospitals, schools, and businesses across New Jersey,” Holley said.
Holley emphasized that he is not opposed to artificial intelligence or economic development but believes a temporary pause would provide time to evaluate the impact of growing electricity demand on the state’s energy infrastructure.
Key Points
- Former Assemblyman Jamel Holley is urging Gov. Mikie Sherrill to temporarily pause approvals for AI data centers in New Jersey.
- Holley cited PJM Interconnection grid alerts, high electricity demand, and concerns about reliability during extreme heat.
- His proposal includes a statewide inventory of data center projects, a Board of Public Utilities assessment, and local hiring requirements for future developments.
