State Sen. Andrew Zwicker (D-Hillsborough) and Sen. Michael Testa (R-Vineland) agree on one thing: New Jersey’s energy infrastructure needs to be updated now if the state wants to take advantage of AI.
And residents need a better understanding of data centers, too.
Zwicker and Testa, speaking at a recent New Jersey State Chamber of Commerce event, explained that data centers aren’t just a current concern — they’re an issue for the future as well. The example they gave: hyperscale data centers, which can consume the equivalent energy of two to five power plants.
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According to Zwicker, data centers currently account for 3% of all energy needs in New Jersey, a number that will grow to 11% within a few years.
“We already have an issue in supply and demand of energy without that,” Zwicker said.
Testa, who has a data center in his district, said his constituents have raised concerns about both the environment and energy costs. On energy, Testa reminded the audience that New Jersey is part of a regional energy grid, PJM — meaning even if a data center isn’t built in New Jersey, residents still bear the cost.
“If they’re built in any other state that’s part of the PJM and may not have state regulations on them similar to New Jersey, that means residents across the state will be paying those extra costs without any of the potential benefits,” Testa said. “The genie is out of the bottle.”
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Nuclear energy is a possible solution, both senators said.
Testa reminded the audience of the 1,100 megawatts taken off the grid when the Oyster Creek nuclear plant shut down in 2018. He also praised Gov. Sherrill for her commitment to restoring nuclear energy in the state.
Nuclear, however, is not an immediate fix. Testa said it could take up to a decade to build a new nuclear plant in Salem, and as long as eight years just to create the regulatory framework for small modular reactors.
“We needed solutions not yesterday, but probably five years ago,” Testa said.
Zwicker, a physicist by training, pointed to the emergence of nuclear fusion as a longer-term hope, while voicing support for nuclear fission in the meantime. He also proposed creating a state Energy Department to streamline regulations and address the state’s supply and demand challenges.
Both senators backed an “all of the above” energy approach. Their shared message: If New Jersey wants to take advantage of data centers and AI, the state needs to focus on energy first.
