Requires data center owners and operators to submit semi-annual water and energy usage reports to BPU.

S3379 2R

[Second Reprint]

SENATE, No. 3379

STATE OF NEW JERSEY

222nd LEGISLATURE

�

INTRODUCED FEBRUARY 9, 2026

Sponsored by:

Senator� M. TERESA RUIZ

District 29 (Essex and Hudson)

Senator� RAJ MUKHERJI

District 32 (Hudson)

Assemblyman� MICHAEL VENEZIA

District 34 (Essex)

Assemblywoman� SHAMA A. HAIDER

District 37 (Bergen)

Assemblywoman� ROSAURA "ROSY" BAGOLIE

District 27 (Essex and Passaic)

Co-Sponsored by:

Senators Diegnan, Beach, McKnight, Greenstein, Turner,
Assemblywoman Brennan, Assemblymen Sampson, Walker, Onyema, Kearney,
Assemblywomen Peterpaul, Donlon, Morales, Assemblyman Bhalla, Assemblywomen
Quijano, Swain and Assemblyman Tully

SYNOPSIS

���� Requires data center owners and operators to submit
semi-annual water and energy usage reports to BPU.

CURRENT VERSION OF TEXT

���� As reported by the Assembly Telecommunications and
Utilities Committee on June 4, 2026, with amendments.

��

An Act
concerning water and energy usage at data centers and
supplementing Title 48 of the Revised Statutes.

����
Be It
Enacted
by the Senate and General Assembly of
the State of New Jersey:

����� 1.�� a.�
As used in this section:�

����� �Board�
means the Board of Public Utilities.

����� �Data
center� means a facility:� (1) whose primary services are the storage,
management, and processing of digital data; and (2) that is used to house
computer and network systems, including associated components such as servers,
network equipment and appliances, telecommunications, and data storage systems,
systems for monitoring and managing infrastructure performance,
Internet-related equipment and services, data communications connections,
environmental controls, fire protection systems, and security systems and
services.
2
�Data center� shall not include a facility that is
used primarily for internal operations by a licensed health care facility or
licensed health care provider so long as the facility does not operate as a
commercial data processing or colocation facility for an unaffiliated entity.
2

����� �Electric
public utility� means the same as the term is defined in section 3 of P.L.1999,
c.23 (C.48:3-51).

����� �Energy
reuse factor� means a calculation of waste heat reused divided by total energy
consumption.

����� �Power
usage effectiveness� means a calculation of a data center�s total energy
consumption divided by the total energy consumption of the data center�s
information technology equipment.

����� �Renewable
energy factor� means a calculation of a data center�s total renewable energy
consumption divided by the data center�s total energy consumption.

����� �Waste
heat reused� means any heat that is used or reused outside the boundary of a
data center and that replaces, partly or entirely, energy needed outside the
boundary of the data center.

����� �Water
usage effectiveness� means a calculation of a data center�s total water input
divided by the total energy consumption of the data center�s information
technology equipment.

����� b.�� No
later than six months after the effective date of this section, or, for a data
center that has been in operation for at least one year as of the effective
date of this section, no later than three months after the effective date of
this section, and on a semi-annual basis thereafter, the owner or operator of a
data center in the State shall prepare and submit a water and energy usage
report to the Board of Public Utilities that contains the following
information, at a minimum:�

����� (1)� basic
information relating to the data center, including:

����� (a)� the
name of the data center;

����� (b)� the
owner or operator of the data center;

����� (c)� the
address of the data center; and

����� (d) the
month and year that the data center commenced operation;

����� (2)� information
related to energy and water usage at the data center, including:�

����� (a)� the
total energy consumption in kilowatt hours, including the use of electricity,
fuels, and other energy sources used for cooling;

����� (b)� the
name of the electric
2
public
2
utility serving the data center and any electric service agreements
between the electric
2
public
2
utility and the data center;

����� (c)� all
on-site power supplies, including any primary power on site and emergency
backup power supply and any permit information such as permit numbers,
capacity, tier level, fuel type, total permitted emissions for the data center,
and any other relevant information;

����� (d) the
total energy consumption of information technology equipment in kilowatt hours
measured as the value of the combined annual energy consumption at every
uninterruptible power system connected to information technology equipment;

����� (e)� the
total
2
and peak daily
2
water input in cubic meters that includes all water
volumes that enter the data center that are used for the functions of the data
center, including information technology, security, power, and environment; and

����� (f)� the
source of water for the data center
2
,
2
including a
2
[
municipal
]

public
2
water
2
[
supply
]

system
2
, groundwater,
2
and
2
surface water, and whether water from such sources
is potable or reclaimed.�
2
If a data center uses water from a public water
system, it shall provide the name of the public water system and any water
service agreements between the public water system and the data center.
2
� If a data center utilizes more than one water
source, the data center shall provide information regarding water usage from
each source as a percentage of total water usage; and

����� (3)� any
other information determined by the board to be necessary.

����� c.�� (1)
In addition to the reporting requirements enumerated in subsection b. of this
section, if a data center is a recipient of a financial incentive from any
State agency, then the data center shall also include in the water and energy
usage report required pursuant to subsection b. of this section, the following
information:�

����� (a)� performance
calculations and indicators for the data center, including the energy reuse
factor, power usage effectiveness, renewable energy factor, and water usage
effectiveness; and

����� (b)� sustainability
indicators for the data center, including:�

����� (i)
the average set point information technology equipment intake air temperature
in degrees Fahrenheit, which shall be measured as the average set point
temperature in all of the data center�s computer rooms over a 12-month period;

����� (ii)
the average waste heat temperature in degrees Fahrenheit, which shall be
measured as the temperature of the fluid used to cool any information and
communication technology equipment, averaged over a 12-month period and across
every measurement point.� Individual waste heat temperature readings shall be
measured at the point where heated fluid enters a heat exchanger in the data
center�s computer rooms;

����� (iii)
the amount of electricity derived from renewable energy in kilowatt hours; and

����� (iv)
the amount of waste heat reused in kilowatt hours.

����� (2)� If
a data center does not receive a financial incentive from any State agency, the
information required in paragraph (1) of this subsection may be submitted to
the board at the data center�s discretion.

����� d.��
2
(1)
2
Within 30 days of receiving a water and energy
usage report from the owner or operator of a data center pursuant to subsection
b. of this section, the board shall publish the information on its Internet
website and update the information as necessary.� The board shall not publish
any performance or sustainability information submitted pursuant to subsection
c. of this section.� Information submitted to the board pursuant to
2
[
this
]
2
subsection
2
c. of this section
2
shall be confidential and shall not be subject to
disclosure under
2
[
the
]
2
P.L.1963, c.73 (C.47:1A-1 et seq.), or the common
law right of access to a public record, except that such information as
anonymized and aggregated from at least five facilities shall be included in
the report.

�����
2
(2)� Nothing in this section shall be construed to
abridge, alter, or amend:�

�����
(a)� the
obligations of any State agency, other than the board, to disclose information
pursuant to any other law, rule, or regulation, including, but not limited to,
the �Senator Byron M. Baer Open Public Meetings Act,� P.L.1975, c.231 (C.10:4-6
et seq.), and P.L.1963, c.73 (C.47:1A-1 et seq.); and

�����
(b)� with
respect to information submitted to the board for purposes other than
compliance with subsection c. of this section, the board�s obligations to
disclose information pursuant to any other law, rule, or regulation, including,
but not limited to, the �Senator Byron M. Baer Open Public Meetings Act,�
P.L.1975, c.231 (C.10:4-6 et seq.), and P.L.1963, c.73 (C.47:1A-1 et seq.).
2

����� e.�� An
owner or operator of a data center that has submitted a water and energy usage
report to the board pursuant to subsection b. of this section shall notify the
board of any substantial change in operations or technologies at the data
center that would require an update to the information provided in the water
and energy usage report submitted pursuant to subsection b. of this section at
least 60 days prior to implementing the change in operations or technologies at
the data center.

����� f.��� The
reporting requirement established pursuant to subsection b. of this section
shall
1
[
be in effect
for a period of three years following the effective date of this act
]

apply for a period of three years, beginning on
the date a data center first submits a water and energy usage report to the
board, regardless of when the data center commenced operation or the effective
date of this act
1
.� Upon
conclusion of
2
the
2
reporting time period, the board shall determine
whether to continue this requirement on a permanent basis.� In the event the
board determines the reporting requirement shall continue on a permanent basis,
the board shall, in accordance with the �Administrative Procedure Act,�
P.L.1968, c.410 (C.52:14B-1 et seq.), adopt rules and regulations as necessary
to implement the provisions of this section.

����� g.�� The
board shall consult and coordinate with the Department of Environmental
Protection in implementing the provisions of this section.

���� 2.��� This act shall take
effect immediately.