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As the region's electrical grid is taxed by power-gobbling AI, more warehouse-size installations will add stress

South Jersey Climate News | April 23, 2026 | Energy & Environment, From our Partners

This article first appeared in South Jersey Climate News, a content-sharing partner of NJ Spotlight News.

New Jersey is home to more than 80 data centers, and others are under construction or planned. The power-gobbling installations, often in warehouse-size properties, are putting increasing pressure on an aging power grid as they drive artificial intelligence digital programs.

By 2030, AI data centers may consume as much as 9% of U.S. electricity annually, according to the Electric Power Research Institute. That’s causing alarm for utilities, with a shortage of clean energy sources to replace closed coal plants, and ratepayers, who bear the cost of grid improvements that can run into the hundreds of millions of dollars. In June, New Jersey electricity bills rose roughly 20% due in part to increasing demand and a regional supply system in danger of losing the generating capacity needed to keep up.

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Also read our story Data centers are booming in the Garden State. Are local communities ready?