ASSEMBLY, No. 5892
STATE OF NEW JERSEY
221st LEGISLATURE
INTRODUCED JUNE 27, 2025
Sponsored by:
Assemblyman ROBERT J. KARABINCHAK
District 18 (Middlesex)
SYNOPSIS
Requires DEP to conduct study of short and long term effects of water use by large-scale data centers.
CURRENT VERSION OF TEXT
As introduced.
An Act requiring DEP to conduct an evaluation of the effects of water use by large-scale data centers.
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. As used in this act:
"Artificial intelligence" or "AI" means a machine-based system that can, for a given set of human-defined objectives, make predictions, recommendations, or decisions influencing real or virtual environments.
"Board" means the Board of Public Utilities.
"Data center" means a facility primarily used for the storage, management, and processing of digital or artificial intelligence data. "Data center" includes facilities that house computer and network systems, including servers, network equipment and appliances, telecommunications, storage systems, monitoring systems, Internet-related equipment and services, data communications connections, environmental controls, fire protection systems, and security systems and services.
"Department" means the Department of Environmental Protection.
2. a. No later than one year after the effective date of this act, the department shall conduct an evaluation of the effects of water use by large-scale data centers on drinking water systems, wastewater systems, and the environment. The evaluation shall include, but not be limited to, the following information:
(1) the short-term effects of water use by large-scale data centers, measured over the preceding three years;
(2) the long-term effects of water use by large-scale data centers, measured over the preceding seven years;
(3) the anticipated effects of water use by large-scale data centers that may be constructed in the future, as distinct from existing large-scale data centers;
(4) any efforts undertaken by the department or by large-scale data center operators to reduce the use of water by large-scale data centers;
(5) how the use of water by large-scale data centers has impacted overall State water use and costs;
(6) how the use of water by large-scale data centers has affected the operational efficiency, cooling requirements, or uptime of the data center due to water constraints;
(7) the direct or indirect costs associated with the use of water by large-scale data centers, including impacts on public water systems, ratepayers, or infrastructure upgrades required to meet demand;
(8) an analysis of any feasible water use reduction strategies which could be implemented by any large-scale data centers operated in the State; and
(9) any other information which the department determines to be necessary to produce a comprehensive study.
b. No later than fifteen months after the effective date of this act, the department shall submit a written report, to the Governor and, pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), to the Legislature, concerning the findings of the evaluation conducted pursuant to subsection a. of this section. The report may include, at the discretion of the Commissioner of Environmental Protection, recommendations for legislation to improve the laws of this State concerning the use of water by large-scale data centers.
3. This act shall take effect immediately and shall expire upon submission of the written report to the Governor and the Legislature pursuant to section 2 of this act.
STATEMENT
This bill requires the Department of Environmental Protection (department) to conduct an evaluation of the short and long term effects of water use by large-scale data centers.
Under the provisions of this bill, the study is to consider the short-term effects of water use by large-scale data centers, measured over the preceding three years; the long-term effects of water use by large-scale data centers, measured over the preceding seven years; the anticipated effects of water use by large-scale data centers which may be constructed in the future, as distinct from existing large-scale data centers; any efforts undertaken by the department or by large-scale data center operators to reduce the use of water by large-scale data centers; how the use of water by large-scale data centers has impacted overall State water use and costs; how the use of water by large-scale data centers has affected the operational efficiency, cooling requirements, or uptime of the large-scale data center due to water constraints; the direct or indirect costs associated with the use of water by large-scale data centers, including impacts on public water systems, ratepayers, or infrastructure upgrades required to meet demand; an analysis of any feasible water use reduction strategies which could be implemented by any large-scale data centers operated in the State; and any other information which the department determines to be necessary to produce a comprehensive study.
The bill requires the department to report on the findings of the study, within fifteen months of the effective date of the act. The Commissioner of Environmental Protection is authorized to submit recommendations for legislation to improve State laws regarding the use of water by large-scale data centers.