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Vineland, N.J. data center makes case for on-site power generation during 6-hour hearing

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Representatives for a hyperscale artificial intelligence data center in Vineland, New Jersey, on Wednesday defended a proposal to house liquefied natural gas and utilize fuel cell technology to power the 300-megawatt facility.

The project, with the first phase already approved and under construction, is being developed by DataOne for the Nebius Group to support AI infrastructure as part of a $17 billion deal with Microsoft.

During a six-hour hearing before the city’s planning board, DataOne pleaded their case for the project’s second phase: a new proposal to use Bloom Energy fuel cells to power the site. If approved, it would be Bloom Energy’s largest single-site fuel cell project to date. Currently, the company’s largest fuel cell project is an 80-megawatt installation in South Korea.

DataOne’s attorney Michael Fralinger said the fuel cells, which do not utilize combustion, release fewer carbon emissions than traditional power generation. The fuel cells use a chemical reaction to convert natural gas into electricity. Fralinger also said on-site generation takes strain off the electrical grid and won’t impact ratepayers’ bills.

“This particular project has been deliberately designed and structured so that its energy requirements are not subsidized by existing electric or natural gas customers,” Fralinger said at the planning board hearing, which included six hours of witness testimony and cross examination. “All of the financial risk for this project is being borne by the project.”

The planning board, after ending the hearing at midnight, must reconvene to allow for additional comment and decide whether to approve the plan. Members of the public were not afforded the chance to speak during the lengthy and detail-oriented meeting, and many walked out as it neared the midnight hour.

“People in the room felt that he was going at a certain pace and focusing on extraneous details to basically run out the clock and to get it to a point where people were just like, ‘This is so boring, I don’t want to be here anymore,’” said Zac Landicini, who lives about 3 miles from the data center and has been advocating against its development.

The acceleration of power-hungry artificial intelligence has boosted demand for data centers. President Donald Trump’s administration last year announced plans to accelerate AI development with limited regulatory oversight.

DataOne said its facility will benefit Vineland by hiring more than 200 permanent, full-time workers, and by becoming one of the largest taxpayers in the city. The city’s mayor and City Council president have voiced support for the project, and have approved a tax exemption for the company as part of a five-year plan.

Residents have voiced concerns about the potential impact on air quality and water supplies, which in some areas of the country have been threatened. Some residents have also complained about whining metallic construction noises, leading to a class-action lawsuit that claims construction and operational noise will impact property values.