Urges states in PJM Interconnection region to require data centers to obtain electricity from new zero- or low-emission sources of energy.
Summary
Senate Resolution No. 125 urges states in the PJM Interconnection region to adopt measures requiring data centers to source their electricity from new zero- or low-emission energy sources. This resolution is brought forth in recognition of the significant energy consumption associated with data centers, which currently account for approximately four percent of the electricity demand in the United States and are projected to escalate to nine percent by the year 2030. The increasing reliance on data centers has raised concerns about the strain it places on regional electric grids, which are already struggling to meet current demands.
The rationale behind SR125 is grounded in both economic and environmental considerations. Notably, data centers can consume energy levels 10 to 50 times greater than typical office buildings, indicating their substantial role in electricity consumption. Given that the PJM region manages a multi-state electric grid, the resolution posits that a collective approach towards clean energy solutions is vital. It aims to alleviate the pressures on these grids and improve their reliability, thereby fostering economic growth while addressing the climate crisis.
In promoting zero- or low-emission energy sources, the bill aligns with national trends where corporations, including major tech companies like Google, are investing in clean energy partnerships. These partnerships reflect a shift towards integrating computational infrastructure with renewable energy sources, enhancing the sustainability of data centers amidst rising energy demands. By urging the adoption of such policies, the resolution seeks to secure future investments in clean-tech industries and ensure energy accessibility for growing digital infrastructures.
However, the bill faces potential contention regarding the feasibility of such mandates for states. The implementation of strict energy sourcing requirements may lead to varied responses among different states, some of which may be more reliant on traditional energy sources. Stakeholders may voice concerns over the economic implications for data centers and their operational expenses, especially in states where transitioning to clean energy is not yet viable. Furthermore, lawmakers will need to consider the governance of the policies enacted, as local implementation varies across state lines.
Directs BPU to investigate PJM Interconnection, L.L.C.'s Reliability Pricing Model; directs State to promote affordable energy practices and to urge PJM Interconnection, L.L.C. to implement certain reforms.
Requires submission of energy usage plan to BPU for proposed artificial intelligence data centers; requires all electricity for artificial intelligence data centers to be derived from new clean energy sources.
Directs BPU to investigate PJM Interconnection, L.L.C.'s Reliability Pricing Model; directs State to promote affordable energy practices and to urge PJM Interconnection, L.L.C. to implement certain reforms.
Requires energy usage plan for proposed artificial intelligence data centers and cryptocurrency mining facilities; requires all electricity for artificial intelligence data centers and cryptocurrency mining facilities to be derived from new clean energy sources.
Respectfully urges Federal Energy Regulatory Commission to reject results of PJM Interconnection, L.L.C.'s 2025/2026 Base Residual Auction and require rebid.
Directs BPU to investigate PJM Interconnection, L.L.C.'s Reliability Pricing Model; directs State to promote affordable energy practices and to urge PJM Interconnection, L.L.C. to implement certain reforms.
Directs BPU to investigate PJM Interconnection, L.L.C.'s Reliability Pricing Model; directs State to promote affordable energy practices and to urge PJM Interconnection, L.L.C. to implement certain reforms.