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The latest trend in solar is Agrivoltaics? Here’s the five things we need to know before we start building.

New Jersey research shows that the best dual-use solar system depends on what counts most: farm production, electricity generation, cost or ease of operation.

Agrivoltaics promises to address two competing demands on New Jersey’s limited land: producing more renewable energy while preserving working farms. The concept sounds simple, but putting solar panels on farmland does not automatically create a successful dual-use project.

Agrivoltaics is the practice of producing solar electricity and agricultural products on the same land. That can mean hay between tracking panels, vegetables in wide solar rows, livestock beside vertical panels or sheep beneath a conventional array. Some projects add pollinator habitat and apiaries. Each makes a different compromise between agriculture, energy production and cost.

Rutgers University has developed a research program under the state’s Dual-Use Solar Act to study those compromises. Three research arrays in Bridgeton, Pittstown and New Brunswick are testing different solar configurations with specialty crops, hay, soybeans and cattle.

That research is helping New Jersey move toward commercial development. The state’s Dual-Use Solar Energy Pilot Program allows up to 200 megawatts of agrivoltaic projects on unpreserved farmland during a 36-month pilot. Selected projects can receive New Jersey solar incentives plus an additional payment intended to cover costs associated with maintaining agriculture around the arrays.

In return, participants must follow approved construction, operations, monitoring and research plans. The results will help the Board of Public Utilities decide whether dual-use solar should become a permanent state program.

Before New Jersey begins building these projects at scale, Rutgers’ early findings point to five important lessons.

1. The simplest model may provide the best overall balance

The Snyder Farm in Pittstown. Photo courtesy of the Rutgers Agrivoltaics Program, Rutgers University, New Jersey, USA 

Hay and forage currently offer New Jersey’s strongest overall agrivoltaic model. They are established agricultural products, require fewer daily trips through an array than vegetables and can grow across a large share of the site.

At the 95-kilowatt Rutgers Snyder Farm array in Pittstown, panel rows are spaced to allow hay equipment to pass. Researchers completed three cuttings in 2024 and collected biomass from 24 subplots.

From May 2024 through April 2025, the Snyder array produced 1,573 kilowatt-hours of electricity for every kilowatt of installed capacity. That was slightly above the 1,564 kWh/kW predicted by the National Renewable Energy Laboratory’s PVWatts model.

Rutgers has not published a final multi-year comparison showing how shade affects total hay production, but the early results suggest that recognizable commercial farming and strong electricity generation can coexist without requiring the most expensive overhead structures.

That does not make the arrangement effortless. Panels must be spaced around cutting, raking and baling equipment; poorly timed construction can compact wet soil and damage the same farmland the project is intended to preserve. A successful design must begin with the machinery and farming practices that will remain on the property.

2. Greater agricultural potential usually means more complicated operations

The RAREC farm in Cumberland County. Photo courtesy of the Rutgers Agrivoltaics Program, Rutgers University, New Jersey, USA.

Specialty crops may produce considerably more value per acre than hay. Partial shade could also protect some crops from extreme heat and water stress, giving vegetable production some of the greatest agricultural potential among the models Rutgers is studying.

Rutgers’ 255-kilowatt array in Cumberland County compares tomatoes, bell peppers, eggplant, spinach and soybeans under single-panel rows, double-panel rows and a no-panel control. Solar rows are spaced 34 feet apart.

In 2025, Rutgers reported that five plastic-covered planting beds could fit between the panel rows, leaving approximately two feet between the outside beds and the support posts. Researchers sometimes stop the moving panels near solar noon to provide enough clearance for tractors.

The Bridgeton array recorded 1,700 kWh/kW during its first full reporting year, the highest production of Rutgers’ three sites and approximately 8 percent more than the Pittstown array. Its southern location receives more sunlight, so that difference cannot be attributed solely to the design. Still, the results show that an array can leave meaningful growing space while maintaining strong electricity production.

The challenge is making the entire agricultural operation work around moving panels, support posts and electrical equipment. Irrigation, tractors, workers and repeated harvests all need access. This model may work well for high-value produce, but the additional labor and infrastructure could make it difficult to scale cheaply across hundreds of acres.

3. A farm-friendly solar design may produce less electricity

The Animal Farm in New Brunswick, New Jersey. Photo courtesy of the Rutgers Agrivoltaics Program, Rutgers University, New Jersey, USA 

Agrivoltaic systems are often designed to create more space for animals, machinery or crops. That additional access can come at a cost to energy production.

Rutgers is testing beef cattle at its 170-kilowatt Animal Farm array in New Brunswick. Vertical bifacial panels stand 20 or 40 feet apart with either two or four feet of clearance. Cameras take photographs every five minutes to track cattle behavior; researchers are also measuring forage growth and quality.

The open arrangement provides space for grazing, but the vertical array produced 1,116 kWh/kW from May 2024 through April 2025. The tracking array in Pittstown, located at nearly the same latitude, produced 1,573 kWh/kW. Rutgers calculated that the vertical system generated approximately 71 percent as much electricity per unit of installed capacity.

That does not mean grazing is a poor use of solar land. Livestock grazing is already one of the most commercially mature forms of agrivoltaics in the United States, particularly with sheep. Animals control vegetation that a solar company would otherwise pay to mow; farmers can earn grazing fees in addition to revenue from meat, wool or breeding stock.

The type of livestock matters. Sheep can graze beneath relatively conventional solar panels and may provide the lowest-cost path to dual use. Cattle require stronger equipment, greater clearance, water and fencing. Rutgers’ study is too new to determine whether the agricultural benefits of the vertical cattle system offset its lower electricity production.

4. One promising growing season is not enough to guide statewide policy

Rutgers’ first soybean trial produced one of the program’s most encouraging results. Soybean yields under both the single- and double-panel arrangements were significantly higher than yields in the open control field. Tests also found no significant differences in protein, oil or moisture.

That result could make broadacre crops appear to be an easy fit for agrivoltaics, but the growing conditions matter. Southern New Jersey experienced an unusually dry late summer and early fall in 2024. Shade from the panels may have helped the soil retain moisture; the same advantage may not appear during a wetter year.

Rutgers has cautioned that the findings are preliminary. International studies summarized by the university have also found yield reductions for some full-sun crops, including potatoes and wheat, although different designs and climates cannot directly predict what will happen in New Jersey.

Economics present another challenge. Soybeans and other field crops cover large areas, but their lower value per acre leaves less room to absorb additional labor, specialized machinery or planting space lost to foundations and electrical equipment.

Multi-year local data will be needed to determine whether the soybean results represent a durable agricultural benefit or an unusually successful response to one dry season. New Jersey’s pilot should be long enough to capture that variation before the state decides which designs deserve permanent incentives.

5. New Jersey needs an honest definition of agriculture

Pollinator vegetation can improve habitat, control erosion and reduce some maintenance needs around solar panels. When paired with managed beehives and commercial honey production, it can also support a legitimate agricultural product.

Pollinator seed alone, however, is the weakest form of agrivoltaics. It does not necessarily keep a farmer on the land, produce food or preserve access for agricultural equipment.

The USDA has reported that native grass and pollinator vegetation account for most identified agrivoltaic sites in the United States, while fewer than 5 percent include crops. That prevalence reflects how easily pollinator planting can be added to a solar project; it does not prove that it is the strongest form of dual-use agriculture. This distinction will matter as New Jersey evaluates projects competing for limited space and financial incentives. A solar field does not become a farm simply because grass or flowers grow beneath its panels.

Sources:

Birnie, D. P., III, Both, A. J., & Rutgers Agrivoltaics Program. (2025, October). Energy generation data for three agrivoltaics sites in New Jersey. Rutgers University. https://agrivoltaics.rutgers.edu/wp-content/uploads/2026/03/Energy-Generation-Data-for-Three-Agrivoltaics-Sites-in-New-Jersey.pdf

Maguire, K. (2024, April 22). Common ground for agriculture and solar energy: Federal funding supports research and development in agrivoltaics. U.S. Department of Agriculture, Economic Research Service. https://www.ers.usda.gov/amber-waves/2024/april/common-ground-for-agriculture-and-solar-energy-federal-funding-supports-research-and-development-in-agrivoltaics

New Jersey Board of Public Utilities. (2025, November 21). In the matter of the Dual-Use Solar Energy Pilot Program [Board order]. https://www.nj.gov/bpu/pdf/boardorders/2025/20251121/LSB%20ORDER%20Dual-Use%20Pilot%20Program.pdf

Rutgers Agrivoltaics Program. (n.d.). Rutgers Agrivoltaics Program. Rutgers University. https://agrivoltaics.rutgers.edu/

Sorrels, S., Burgher, C., & Mata, R. (2026, June 5). Grazing beef cattle within an agrivoltaics array at the Rutgers Animal Farm. Rutgers Agrivoltaics Program. https://agrivoltaics.rutgers.edu/2026/06/05/grazing-beef-cattle-within-an-agrivoltaics-array-at-the-rutgers-animal-farm/

Wyenandt, A., & Ward, D. (2025, June 9). Second year of specialty crop research begins at RAREC. Rutgers Agrivoltaics Program. https://agrivoltaics.rutgers.edu/2025/06/09/second-year-of-specialty-crop-research-begins-at-rarec/

Wyenandt, A., & Ward, D. (2025, July 9). 2024 agrivoltaics soybean harvest at RAREC in southern New Jersey. Rutgers Agrivoltaics Program. https://agrivoltaics.rutgers.edu/2025/07/09/2024-agrivoltaics-soybean-harvest-at-rarec-in-southern-new-jersey/

New York prepares Route 17 for its next chapter


A multibillion-dollar program would modernize 30 miles of highway, address growing congestion and advance the long-planned conversion to Interstate 86.

New York is preparing for one of the largest highway investments in the Hudson Valley in decades. The Route 17 enhancement is a broad modernization program covering approximately 30 miles between U.S. Route 209 near Wurtsboro and Interstate 87 in Harriman. The work is upgrading the corridor through a combination of new travel lanes, reconstructed interchanges, service roads, bridge replacements, wider shoulders and updated traffic technology. Improvements for transit users, pedestrians and cyclists are also being incorporated where the highway connects with surrounding communities.

Together, these investments will address growing congestion and advance the long-planned conversion to Interstate 86. The designation would complete a continuous interstate-standard connection between the Southern Tier and I-87 in Harriman, improving freight access and making Orange and Sullivan counties more competitive for businesses that depend on the national highway network. 

A highway built for a different Hudson Valley

The limited-access portion of Route 17, historically known as the Quickway, was developed largely during the 1950s and 1960s. It opened the Catskills and Southern Tier to faster travel from the New York metropolitan area while giving communities west of the Hudson River a more direct connection to the interstate highway system.

The road already carries traffic that its original designers could not have anticipated. Orange and Sullivan counties have added housing and businesses; tourism has expanded around destinations including LEGOLAND New York, Resorts World Catskills and Woodbury Common Premium Outlets. Looking ahead, a new analysis conducted by Colliers Engineering (commissioned by ELEC825 and 17-Forward-86) shows that the NYS Route 17 corridor between Exit 103 in Sullivan County and Exit 131/I-87 in Orange County is anticipated to experience significant traffic growth in the near term. This growth is expected to be driven in part by approximately 75 development projects proposed along the corridor, as well as additional projected growth over the 30-year analysis period. Collectively, these projects represent more than 20 million square feet of residential, commercial, and industrial development in municipalities along the Route 17 corridor.

As identified in the analysis, providing an additional travel lane in each direction would significantly improve traffic flow conditions along the corridor and accommodate the anticipated future traffic volumes. Extending the additional lanes farther west to Exit 103 would further support economic development and continued growth throughout the region. 

Two major alternatives remain under study

The New York State Department of Transportation and Federal Highway Administration are evaluating two principal construction alternatives, along with a federally required no-build alternative.

The first construction concept would retain two general travel lanes in each direction through most of the corridor while concentrating investment at its busiest locations. It would add auxiliary lanes between Exit 130 and Exit 130A and construct collector-distributor roads around several interchanges, including between exits 120 and 122 and exits 122A and 124.

Collector-distributor roads run parallel to the main highway and carry vehicles traveling between nearby entrances and exits. By moving much of the merging and weaving away from the through lanes, they can improve traffic flow without widening the entire highway.

This alternative would also reconstruct selected interchanges and make targeted improvements to curves, slopes, shoulders, bridges and traffic-management systems. NYSDOT’s 2024 scoping report estimated its cost at approximately $1.30 billion.

The second alternative would include many of the same interchange and service-road improvements while adding a third general-purpose travel lane in each direction between Exit 120 at Route 211 and Exit 130A at U.S. Route 6. This section runs through the heavily developed Orange County corridor surrounding Middletown, Goshen, Chester, Monroe and Woodbury. Its estimated cost was approximately $1.41 billion.

The state has committed up to $1 billion toward Route 17 improvements, meaning the final scope, construction schedule and additional funding sources will remain important parts of the planning process. The estimates are also based on an earlier stage of design; costs could change as engineering advances and the effects of labor, materials, property acquisition and environmental mitigation become clearer.

Interstate 86 is the long-term goal

Map courtesy of the New York State Department of Transportation.

Congress authorized the conversion of Route 17 into Interstate 86 in the late 1990s, but an interstate designation cannot simply be added to the existing highway. Each section must meet federal requirements governing features such as interchange design, bridge clearance, shoulder width, acceleration and deceleration lanes and access control.

Large portions of Route 17 west of the Hudson Valley have already received the I-86 designation. The remaining sections in Orange and Sullivan counties include some of the most complicated work because the highway passes through developed communities, environmentally sensitive areas and locations where interchanges were designed under older standards. Modernizing the 30-mile corridor would close a gap, but it would not complete the entire conversion by itself. Separate projects are being developed for sections farther west in Sullivan County, including the highway between exits 103 and 105 and between exits 105 and 107. Those projects are proceeding through their own design and environmental reviews.

Construction is already underway

Construction at Route 17’s Exit 122 in the Town of Wallkill includes new ramps and a collector-distributor road designed to separate through traffic from vehicles entering and leaving the highway.

Although the primary enhancement remains under environmental review, work has started on several improvements. At Exit 122 in the Town of Wallkill, a $67.8 million project is completing the reconstruction of the interchange serving Interstate 84, Crystal Run Road and East Main Street. The project includes new and reconfigured ramps, a collector-distributor road and the reconstruction of the Route 17 bridge over the Wallkill River.

The service road will separate through traffic from vehicles entering and leaving Route 17, reducing the amount of high-speed merging on the main highway. The project also includes acceleration and deceleration lanes, upgraded signals, durable asphalt, new pavement markings and a 10-foot-wide shared-use path connecting hotels, restaurants, medical offices and Garnet Health Medical Center. Substantial completion is expected in late 2026. 

A separate $17 million project began in 2026 to replace the Route 17 bridge over Route 17K near the Orange-Sullivan county line. The new bridge will provide 16 feet of vertical clearance, approximately two feet more than the existing structure, reducing the risk of trucks striking the overpass. Completion is expected in late 2027.

Earlier projects rebuilt Exit 131 near the New York State Thruway and Woodbury Common, improved Exit 125 near LEGOLAND and completed the first stage of work at Exit 122. Those investments demonstrate how the eventual I-86 conversion is being assembled section by section rather than delivered as a single project.

The final project has not been selected

The scale of the Route 17 enhancement can make it sound as though construction of a third lane has already been approved. It has not. NYSDOT must complete the environmental review, compare the alternatives, respond to public comments and issue a formal Record of Decision before the main program can advance.

The schedule for this has already shifted. The Draft Environmental Impact Statement was initially expected in 2025, but the state said additional time was needed to reconsider the alternatives, address public feedback and comply with changing federal requirements. The federal permitting dashboard now lists the environmental review and permitting process as ongoing, with an estimated completion date in February 2028. 

For the Hudson Valley, the decision will shape far more than the width of a highway. Route 17 influences where businesses invest, how reliably workers reach jobs, how visitors enter the Catskills and how communities absorb future growth.

Sources:

New York State Department of Transportation. New York State Route 17 to I-86 Enhancements Initiative.

New York State Department of Transportation. State Department of Transportation announces start of $67.8 million project to upgrade State Route 17 Exit 122 interchange in Orange County.

Office of Governor Kathy Hochul. Governor Hochul announces major milestone on transformative conversion of State Route 17 into Interstate 86.

Infrastructure Update – Week of September 21, 2026

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As summer turns to autumn and winter lies around the corner, there’s a lot of energy news this week. Also, updates on new data center rules in New Jersey, a case of fraudulent safety training cards in New York City, and long-awaited cleanup of the Passaic River. All this and more in this issue of Infrastructure Update

Regulators approve 8.9% winter rate reduction for New Jersey Natural Gas customers

The New Jersey Board of Public Utilities has approved rate adjustments for New Jersey Natural Gas that will lower customer bills by 8.9% for the 2026–2027 winter heating season. The reduction provides immediate bill savings across approximately 600,000 residential and commercial customer accounts starting in October. The savings stem from lower wholesale commodity costs and adjustments in the utility’s supply portfolio, offsetting portions of long-term capital investments in pipeline infrastructure and distribution system reliability.

Read more: https://binje.com/sectors/energy/bpu-approves-njngs-8-9-winter-rate-cut/

NYC revokes 2,000 construction site safety training cards amid fraud probe

The New York City Department of Buildings invalidated approximately 2,000 Site Safety Training (SST) cards after an investigation exposed a fraudulent certification scheme. Authorities discovered that an authorized third-party training provider had issued mandatory safety credentials to workers without conducting required classroom and jobsite safety instruction. Building officials launched targeted jobsite audits across the five boroughs to identify uncertified laborers and enforce citywide construction safety standards.

Read more: https://www.enr.com/articles/63637-nyc-invalidates-2-000-construction-safety-cards-tied-to-alleged-training-fraud

EPA moves to repeal power plant greenhouse gas rules

The U.S. Environmental Protection Agency announced action to repeal federal regulations that restrict planet-warming greenhouse gas emissions from coal- and natural gas-fired power plants. In addition to rolling back existing standards, the agency signaled steps to restrict the federal government’s future authority to regulate power plant carbon pollution under the Clean Air Act. Federal officials stated the policy shift will ease financial burdens on the power sector by hundreds of billions of dollars and prioritize ratepayer energy costs, while environmental groups criticized the rollback for undermining public health and national climate commitments.

Read more: https://www.politico.com/news/2026/09/14/epa-power-plant-climate-rules-01069146

Cleanup agreement advances for 17-mile stretch of polluted Passaic River

Federal authorities have reached a proposed Superfund settlement agreement to advance environmental remediation across the lower 17 miles of the Passaic River in Essex County. The river corridor suffered extensive, multi-decade toxic contamination stemming from industrial operations, including a historic manufacturing plant in Newark that produced components for Agent Orange. The proposed consent decree establishes baseline sampling protocols and lays procedural groundwork for major dredging and riverbed capping operations along one of the most polluted waterways in the country.

Read more: https://www.nj.com/essex/2026/09/agent-orange-maker-polluted-this-nj-river-a-17-mile-stretch-will-finally-get-cleaned-up.html

New Jersey enacts mandatory energy and water disclosures for data centers

New Jersey has implemented legislation requiring commercial data center operators to submit semiannual reports tracking their electricity and water consumption to the Board of Public Utilities. The law covers total electricity use, IT hardware demand, cooling fuel, backup power generation, and peak daily water usage. State officials structured the reporting framework to evaluate the mounting strain high-density data centers place on the regional power grid and municipal water systems, while giving municipalities more leverage during project negotiations.

Read more: https://tristateinfrastructurenews.com/new-jersey-requires-data-centers-to-report-energy-and-water-use/

Power plant winter weather resilience improves after regulatory overhauls

A joint regulatory analysis by the Federal Energy Regulatory Commission and the North American Electric Reliability Corporation reported significant reductions in unplanned generator outages during recent severe winter storms. The findings showed that mandatory cold-weather preparedness standards, enhanced weatherization protocols, and better generator fuel assurance have strengthened bulk electric grid performance during extreme freeze events compared to historical winter disruptions.

Read more: https://www.utilitydive.com/news/unplanned-power-plant-outages-winter-weather-ferc-nerc/830141/

Middle East conflict drives global coal demand toward record volumes

Escalating conflict involving Iran has intensified disruption across international natural gas markets, prompting electric utilities in Europe and Asia to ramp up coal-fired power generation. With natural gas supplies constrained and global benchmark fuel prices climbing, power producers have increasingly turned to coal assets to ensure continuous baseload reliability, reversing short-term carbon reduction projections and pushing international coal demand toward all-time highs.

Read more: https://www.nytimes.com/2026/09/10/climate/global-coal-demand-iran-war.html

New Jersey nuclear station plans first-in-nation medical isotope production

Operators of a commercial nuclear plant in New Jersey unveiled plans to adapt existing reactor facilities to manufacture essential medical radioisotopes. The initiative aims to make the plant the first major commercial nuclear producer of these isotopes in the United States, targeting acute domestic supply shortages of critical diagnostic imaging agents and targeted radiotherapies used in advanced cancer treatments.

Read more: https://tristateinfrastructurenews.com/new-jersey-nuclear-plant-reveals-plans-to-become-first-major-u-s-producer-of-critical-medical-isotope/

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New data centers projected to reduce residential electricity rates

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New data centers in Georgia and Indiana will pay for grid upgrades and pay for electricity at rates that will save local residents up to $180 per year.

Data centers are raising concerns that households will be forced to pay for the power plants, substations and transmission lines needed to serve them. In Georgia, Indiana, and soon in New Jersey, data centers and other large-load customers pay their own infrastructure costs, providing utilities with substantial new revenue and helping reduce the share of fixed system expenses carried by residential customers.

In Georgia, Georgia Power projects that revenue from new large-load customers will save a typical residential customer approximately $180 annually beginning in 2029. Indiana Michigan Power, meanwhile, has proposed $59 million in 2027 bill reductions that could save a typical Indiana household about $100 per year. Both states have developed special rates, long-term contracts and financial guarantees for large energy users.

Georgia turns a massive new load into projected savings

The Georgia Public Service Commission recently approved an electric service agreement between Georgia Power and OpenAI for Project Camellia, a planned data center campus in Effingham County. OpenAI expects to develop the facility in phases from 2028 through 2032, eventually requiring approximately 3,200 megawatts of electricity. That is roughly equal to the output of three nuclear reactors at Georgia’s Plant Vogtle.

Under the agreement, OpenAI will pay the full cost of the electric infrastructure and service required for the campus. Georgia Power projects that OpenAI and other new large-load customers will generate approximately $950 million annually in additional revenue, producing $2.847 billion in customer savings from 2029 through 2031.

For a typical residential customer using 1,000 kilowatt-hours per month, the utility estimates that large-load revenue will provide approximately $180 in annual savings beginning in 2029. The figure represents downward pressure on rates rather than a guarantee that the total bill will fall by exactly $180; fuel costs, storm recovery and other expenses can still affect what customers ultimately pay.

A conceptual rendering provided by OpenAI shows a preliminary vision for the proposed Project Camellia data center campus in Effingham County. Company officials said the design is not final and will continue to evolve as planning moves forward. 

Georgia’s approach includes protections intended to prevent those savings from disappearing if a data center uses less electricity than expected or abandons a project. New customers expecting peak demand of at least 100 megawatts can be required to sign customized contracts with financial guarantees, minimum monthly payments, longer terms and early-termination charges. Contracts at or above the threshold must also be submitted to state regulators before execution.

OpenAI has made an additional commitment that could support grid reliability. Project Camellia will provide up to 1,000 megawatts of flexible demand response, allowing Georgia Power to reduce electricity delivered to the campus during periods of high demand or system stress. Because utilities build their systems to meet peak demand, the ability to shed such a large block of load can reduce emergency risks and limit the need for generation that may operate only during a small number of hours each year.

The arrangement is significant because Georgia is planning nearly 10,000 megawatts of new generation, approximately 80 percent of which is expected to serve data centers. Georgia Power carries a financial backstop for certain costs through 2031 if the anticipated large-load contracts do not materialize. Regulators can also suspend projects that have not started, end power-purchase agreements, retire other plants or direct the sale of excess electricity.

Indiana proposes $59 million in rate reductions

Indiana Michigan Power is pursuing a similar result through a different route. The utility has proposed approximately $59 million in bill reductions for Indiana customers in 2027, which it estimates would save a residential customer using 1,000 kilowatt-hours per month about $100 annually.

The plan would also freeze all rates on Indiana residential customers’ monthly bills for three consecutive years. Indiana Michigan Power explicitly attributed the proposal to load growth and increased revenue from large customers, including data centers.

As those customers purchase more electricity, the utility collects more revenue across a larger base. If the additional payments exceed the cost of serving the new demand, more of the system’s fixed costs can be assigned to the large customers and less must be recovered from households.

The Indiana proposal is not yet final. The Indiana Utility Regulatory Commission is expected to decide on the plan in June 2027; if approved on the proposed schedule, the savings would begin appearing on bills next summer.

Large-load protections are becoming more common

The movement extends beyond Georgia and Indiana. In January, utility commissioners and staff from Arkansas, Florida, Iowa, Louisiana, Minnesota, Oregon, Texas, Vermont, Virginia and Washington participated in a National Association of Regulatory Utility Commissioners discussion focused on large-load and data center tariffs.

Some of those states already have approved tariffs. Others are developing their first requirements. Regulators are increasingly considering minimum-demand payments, long-term contracts, exit fees, financial collateral and upfront infrastructure payments to protect customers when proposed data center demand fails to materialize.

Louisiana requires large loads to separately finance the infrastructure associated with their projects. Virginia’s approved tariff includes minimum payment requirements tied to transmission, distribution and generation costs. Minnesota has adopted a policy requiring some large customers to pay 100 percent of distribution line-extension costs upfront. 

The issue has also reached the federal level. In June, the Federal Energy Regulatory Commission directed all six regional grid operators under its jurisdiction, including PJM, to justify or reform the rules governing how data centers and other large users connect to the transmission system. FERC identified preventing cost shifts, increasing transparency and creating new transmission services for flexible large loads among the principal areas requiring attention.

These actions show a growing consensus that conventional commercial rates may be inadequate for facilities capable of consuming as much electricity as a city, particularly when utilities must commit billions of dollars before knowing whether every announced project will be built.

New Jersey’s new framework

New Jersey is working to create the conditions that allow large-load growth to benefit customers, like those in Georgia and potentially Indiana. In July, Gov. Mikie Sherrill signed the Data Center Fair Share law, S731/A796, requiring electric utilities to establish a separate tariff for data centers requesting at least 100 megawatts of peak load.

The law states that large data centers must commit to taking at least 85 percent of the electricity they request for a minimum of 10 years. It also directs the New Jersey Board of Public Utilities to ensure that costs attributable to large data centers are assigned to those facilities, not other customers. 

The BPU can adjust those requirements when a facility provides sufficient operating flexibility or brings additional energy and capacity onto the grid. This flexibility could allow New Jersey data centers to follow the Project Camellia model by reducing demand before residential customers are affected during periods of grid stress.

This could also become invaluable during severe storms and power outages; by curtailing their load or switching to on-site backup generation, data centers can free up critical capacity and keep residential neighborhoods powered through peak emergency events. 

The provision could also encourage developers to finance new generation, battery storage, or other distributed energy resources that add resilient backup capacity to the local grid instead of merely consuming it.

Sherrill signed a second law in August requiring data center owners and operators to submit semiannual reports on their energy and water use. The reports must include total electricity consumption, energy used by information technology equipment and cooling systems, peak daily water use, water sources, and information about on-site and backup generation.

New Jersey’s framework does not guarantee an immediate rate reduction. Utilities must still develop their tariffs, the BPU must review the proposed terms and new generation must come online quickly enough to meet rising demand across the PJM region. The effectiveness of the law will depend on how regulators calculate costs, value flexible demand and enforce long-term financial commitments.

Georgia and Indiana nevertheless offer a clearer picture of what New Jersey is trying to achieve. Data centers can become a source of lower costs and greater reliability, but only when policy determines who pays, who carries the risk and what happens if the projected demand never arrives.

Sources:

Effingham County, Georgia. (2026). Project Camellia (OpenAI data center). https://www.effinghamcounty.org/902/Project-Camellia-OpenAI-Data-Center

Georgia Power. (2026, July 22). Georgia Power to serve OpenAI project in Effingham County. https://www.georgiapower.com/news-hub/press-releases/georgia-power-to-serve-openai-project-in-effingham-county.html

Georgia Public Service Commission. (2026, March). Data center fact sheet. https://psc.ga.gov/site/downloads/datacenterfactsheet.pdf

Indiana Michigan Power. (2026, August 26). Hoosiers expected to see savings as I&M advances one of the nation’s largest rate reduction plans. https://www.indianamichiganpower.com/company/news/view?releaseID=12207 

New Jersey Legislature. (2026). Assembly Bill No. 796, fourth reprint. https://pub.njleg.state.nj.us/Bills/2026/A1000/796_R4.PDF

Office of Governor Mikie Sherrill. (2026, August 27). Governor Sherrill delivers all four pillars of data center plan, puts power back in the hands of communities. https://www.nj.gov/governor/news/2026/20260827a.shtml

OpenAI. (2026, July 22). Building AI infrastructure with the Effingham County community. https://openai.com/index/building-ai-infrastructure-with-the-effingham-county-community/

New Jersey nuclear plant reveals plans to become first major U.S. producer of critical medical isotope

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PSEG’s Salem nuclear plant is preparing to produce cobalt-60, an isotope used to sterilize billions of medical devices and support cancer treatment.

New Jersey’s largest nuclear generating site is preparing to take on a second role beyond producing electricity: strengthening the nation’s medical supply chain.

PSEG Nuclear, Westinghouse Electric Company and medical isotope supplier Nordion plan to begin producing cobalt-60 at the Salem Nuclear Generating Station in Salem County. If successful, the project would establish the first commercial-scale cobalt-60 production platform in the United States and introduce the isotope to a type of reactor that accounts for most of the world’s commercial nuclear fleet.

The companies expect to install the first cobalt targets in Salem Units 1 and 2 later this fall, subject to federal regulatory approval and plant operating schedules. The first commercial supply of cobalt-60 is expected to be harvested around 2029, following several years inside the reactors.

The project could eventually supply at least half of U.S. demand for an isotope that is essential to modern health care but is not currently produced domestically.

What is cobalt-60?

Cobalt-60 is a radioactive isotope used primarily as a source of gamma radiation. Its largest application is sterilizing medical products that cannot withstand the heat, moisture or chemicals used in other sterilization methods.

Gamma irradiation can pass through sealed packaging and destroy bacteria, viruses and other microorganisms without leaving radioactive material behind in the treated product. The process is used on syringes, surgical gloves, catheters, implants, wound-care products and equipment used in pharmaceutical manufacturing.

Cobalt-60 is used to sterilize more than 16 billion single-use medical devices annually in the United States, according to the companies. It also supports certain cancer treatments, including stereotactic radiosurgery, and can be used to treat food, cosmetics, polymers and other commercial products.

The United States consumes approximately half of the world’s cobalt-60 supply because of its large medical-device manufacturing and health care sectors. However, it currently depends entirely on foreign reactors to produce the isotope.

Only about 20 reactors worldwide produce cobalt-60. Most of the supply comes from reactors in Canada, Argentina, China and India, while Russia also produces it. After the cobalt is removed from a reactor, it must be processed into sealed radiation sources by one of only a handful of specialized manufacturers.

How Salem would produce it

Cobalt-60 production begins with cobalt-59, the stable and naturally occurring form of the element. The cobalt-59 is placed inside a reactor, where it absorbs neutrons and gradually transforms into cobalt-60.

Westinghouse and Nordion began working together in 2019 to adapt that established process for use in pressurized water reactors. PSEG later joined the effort to prepare Salem Units 1 and 2 for the first commercial deployment.

Most cobalt-60 has traditionally been produced in Canadian-designed CANDU reactors or Russian RBMK reactors. Those facilities provide a different operating environment from Salem’s pressurized water reactors, which operate at higher temperatures and pressures.

At Salem, cobalt targets would be held at temperatures of about 608 degrees Fahrenheit and pressures of approximately 2,250 pounds per square inch. They could remain in the reactor for two or three 18-month operating cycles, resulting in a total irradiation period of three to five years.

To withstand those conditions, the companies developed a Cobalt Burnable Absorber, or COBA, insert. Each insert contains a series of rodlets holding capsules filled with cobalt-59. The insert is placed within a Westinghouse fuel assembly, but the cobalt remains separate from the nuclear fuel rods. The cobalt initially functions as a burnable absorber, a component used to help control reactivity inside a nuclear reactor. As it absorbs neutrons, it is converted into cobalt-60.

Once the material reaches the required activity level, it can be removed during a scheduled refueling outage and transported to Nordion for processing. The companies say the work can be performed without extending the outage or requiring permanent changes to the plant.

A second product from existing infrastructure

Salem Units 1 and 2 are pressurized water reactors; neighboring Hope Creek uses a different boiling water reactor design. Together, the Salem and Hope Creek plants produce more than 40 percent of the electricity generated in New Jersey and approximately 85 percent of the state’s carbon-free electricity.

The cobalt-60 project would allow Salem to produce a valuable medical material while continuing to generate electricity. It could also create a new recurring source of revenue from infrastructure already operating at the site.

The significance extends beyond New Jersey. Pressurized water reactors represent roughly 70 percent of the world’s more than 400 operating commercial nuclear reactors. Demonstrating that cobalt-60 can be produced safely and economically at Salem could provide a model for other U.S. plants.

PSEG submitted a license amendment request to the U.S. Nuclear Regulatory Commission in late 2025. The application includes both Salem-specific information and a broader technical component that could support future applications from other nuclear operators across the country.

Reducing dependence on foreign suppliers

Domestic production would not replace Canada and other existing suppliers immediately. Nordion, which has produced medical isotopes since 1946, would continue to operate within an international supply network.

However, adding U.S. reactors would diversify that network and reduce the consequences of an outage, transportation disruption or geopolitical conflict affecting one of the limited number of existing suppliers. The U.S. Department of Energy has identified cobalt-60 as a radioisotope for which domestic production capacity is critically needed. The Salem project could meet at least half of current U.S. demand, according to the companies. It would also create room to expand production if demand grows, particularly if the technology is adopted by other pressurized water reactors.

The timeline remains dependent on NRC authorization and the operating schedules of Salem’s two reactors. Even after the first targets are installed, the cobalt must remain inside the reactors for several years before the first commercial supply can be collected.

Sources:

American Nuclear Society. (2026, September 3). Westinghouse, Nordion, and PSEG team up to produce Co-60 in the United States. https://www.ans.org/news/2026-09-03/article-8326/westinghouse-nordion-and-pseg-team-up-to-produce-co60-in-the-united-states/

U.S. Nuclear Regulatory Commission. (2025, September 25). Salem Generating Station, Units 1 and 2: License amendment request to modify renewed facility operating licenses in support of cobalt-60 production. https://www.nrc.gov/docs/ML2526/ML25268A072.pdf

Westinghouse Electric Company. (2026, January 27). Westinghouse, Nordion and PSEG reach key milestones to launch first-ever production of cobalt-60 in U.S. pressurized water reactors. https://info.westinghousenuclear.com/news/westinghouse-nordion-and-pseg-reach-key-milestones-to-launch-first-ever-production-of-cobalt-60-in-u.s.-pressurized-water-reactors

States challenge plan to speed natural gas projects

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Attorneys general warn that broader blanket authority could leave ratepayers paying for unnecessary infrastructure

A coalition of 15 state attorneys general is asking the Federal Energy Regulatory Commission (FERC) to reconsider a proposal that would make it easier for natural gas companies to expand or modify existing facilities. The dispute comes as households across the country face higher electricity costs and policymakers debate how to build energy infrastructure faster without weakening oversight.

FERC’s proposal would expand its blanket certificate program, which allows certain projects involving previously approved pipelines, storage facilities and other natural gas infrastructure to move forward without a separate, full certificate proceeding. The program would reduce delays for work at existing sites, helping companies add capacity and respond more quickly to growing energy demand.

The attorneys general, led by Washington Attorney General Nick Brown and Massachusetts Attorney General Andrea Campbell, contend that the program could allow larger and more consequential projects to receive less scrutiny. The coalition includes California, New York, Maryland, Connecticut, Illinois, Maine, Oregon, Colorado, Arizona, Michigan, Minnesota, Vermont and the District of Columbia.

A debate over speed, cost and oversight

The central question is how much review should be required when a company proposes new work within an existing natural gas system. FERC and industry supporters see the blanket certificate process as a way to avoid repeating parts of a review for infrastructure and rights-of-way that have already been examined; opponents say even an expansion at an established site can create new costs, safety concerns and environmental effects.

The attorneys general have framed their objection as a ratepayer protection issue. They argue that faster federal approval does not necessarily establish that a project is needed or that its costs are reasonable, particularly if a utility later seeks to recover those costs from customers.

Supporters contend that lengthy permitting can increase construction costs, discourage investment and delay infrastructure that may be needed to maintain reliable service, especially in regions where constrained natural gas supplies can contribute to sharp price increases during periods of high demand.

The policy fight is unfolding against a difficult backdrop for consumers. Federal data show that electricity prices have increased substantially in a number of the states represented in the coalition, including California, Massachusetts, Maryland, New York and the District of Columbia. Those increases have become a central argument for expanding energy infrastructure. 

The regional picture is also uneven. California and much of New England continue to report some of the nation’s highest electricity prices, while Washington and Oregon remain below several Northeast states despite recent increases. New Mexico, which did not join the coalition and is a major oil and natural gas producer, has experienced more modest long-term growth in electricity prices, though its energy mix and market conditions differ from those of the coastal states cited in the debate.

The affordability equation

Natural gas remains an important source of electricity and home heating in much of the country, including the Northeast. When pipeline capacity is tight, utilities and power generators face higher fuel costs and those expenses can reach consumers through electric bills.

Additional infrastructure can help address those constraints, but projects can also require major capital investment that customers may ultimately help finance. The affordability question therefore extends beyond whether a project is approved quickly; it also includes whether the project is necessary, whether a lower-cost alternative exists and how financial risk is divided between shareholders and ratepayers.

Environmental review is another part of that calculation. State officials and community groups argue that expansions can affect air quality, land, water and nearby neighborhoods even when they occur within an existing system. Project developers counter that work at established facilities can often be completed with fewer impacts than construction at an entirely new site.

What happens next

FERC will have to decide whether the blanket certificate program can be expanded while maintaining sufficient safeguards for customers and affected communities. Options could include project-size limits, clearer need standards, stronger notice requirements or additional review for proposals with significant costs or environmental effects.

The outcome will matter beyond the immediate political dispute. Electricity demand is rising in many regions as data centers, manufacturing and electrification place new pressure on the grid; at the same time, families and businesses are asking public officials to control costs and maintain reliable service.

Sources:

Attorneys General of Washington, Massachusetts, Arizona, California, Colorado, Connecticut, Illinois, Maine, Maryland, Michigan, Minnesota, New York, Oregon, Vermont, & the District of Columbia. (2026, July 27). Motion to intervene and comments: Revisions to the blanket certificate program (Docket No. RM25-12-001). Federal Energy Regulatory Commission. https://oag.ca.gov/system/files/attachments/press-docs/20260727commentsblanketcertificatenopr.pdf

Federal Energy Regulatory Commission. (2026, May 27). Revisions to the blanket certificate program (Docket No. RM25-12-001) [Notice of proposed rulemaking]. Federal Register. https://www.federalregister.gov/d/2026-10498

Turner, D. (2026, August 6). This is what blue state AGs are doing to jack up your energy bill. The Daily Wire. https://www.dailywire.com/news/this-is-what-blue-state-ags-are-doing-to-jack-up-your-energy-bill

U.S. Energy Information Administration. (2026, July 23). Electric Power Monthly: May 2026. https://www.eia.gov/electricity/monthly/

Infrastructure Update – Week of September 14, 2026

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Another week of news that’s literally shaping how the region moves

Federal court ruling raises questions for NJ climate superfund bill

A recent federal court decision striking down New York’s Climate Superfund law has raised significant concerns for New Jersey lawmakers considering similar legislation. The ruling found that New York’s attempt to charge fossil‑fuel companies up to $75 billion over 25 years was preempted by federal law, including the Clean Air Act and the Foreign Affairs Doctrine. The decision also referenced prior Second Circuit precedent that limited state‑level climate‑damage recovery efforts. With New Jersey’s bill gaining momentum, opponents argue the ruling signals major legal vulnerabilities, urging legislators to reassess the proposal. 

Read more: https://tristateinfrastructurenews.com/federal-court-ruling-on-climate-superfund-legislation-raises-serious-legal-questions-for-new-jersey-lawmakers/

Hoboken construction updates highlight major resiliency and mobility projects

Hoboken continues advancing a wide range of construction and infrastructure projects, including major components of the Rebuild by Design Hudson River Project. Current work includes floodwall footings, concrete installations, gas‑line relocations, sidewalk restoration, and the closure of 14th Street to facilitate flood‑gate construction. The city’s active construction map shows dozens of ongoing projects, from pedestrian‑plaza improvements to utility upgrades, all aimed at reducing storm‑surge risk, improving accessibility, and modernizing public spaces. Schedules remain weather‑dependent, and detours are in place for New Jersey Transit routes. 

Read more: https://www.hobokennj.gov/hoboken-construction-updates

Data centers emerge as a major issue in New Jersey’s midterms

Data centers have become a flashpoint in New Jersey politics ahead of the 2026 midterm elections. With 49 centers operating and 11 more planned, towns across the state are imposing restrictions or outright bans due to concerns about noise, water use, energy demand, and rising electricity bills. Analysts say data centers have become symbolic of broader frustrations over affordability, with some candidates campaigning explicitly against them—even in towns without proposals. 

Read more: https://whyy.org/articles/2026-midterms-new-jersey-data-centers/

Somerset County announces extensive road and bridge construction

Somerset County has released updated information on dozens of active and upcoming road, bridge, and traffic‑signal projects. Current work includes resurfacing programs, ADA compliance upgrades, bridge replacements, stormwater infrastructure studies, and intersection improvements across multiple municipalities. Several bridges—including Burnt Mills Road, Davenport Street, Mendham Road, and Lloyd Road—have scheduled public information sessions. Additional projects include new loop roads at Route 206/CR 518 and major roadway improvements in Franklin, Montgomery, Watchung, and Bound Brook. The county updates project status regularly and provides detailed maps and schedules for residents. 

Read more: https://www.somersetcountynj.gov/government/public-works/engineering/road-projects-construction-announcements

New York commits $750 million to clean water infrastructure

New York’s enacted state budget includes a record $750 million per year for clean‑water infrastructure grants—part of a broader $3.75 billion investment plan. The funding supports drinking‑water upgrades, sewer improvements, lead‑service‑line replacements, and projects addressing emerging contaminants. Additional grants prioritize small, rural, and disadvantaged communities. State officials emphasize that these investments protect public health, reduce long‑term costs, and modernize aging systems. The Environmental Facilities Corporation is now reviewing applications for the first $425 million installment, with enhanced grants available for both drinking‑water and wastewater projects. 

Read more: https://tristateinfrastructurenews.com/new-york-budget-commits-750-million-to-clean-water-infrastructure/

Permit challenges rejected by appeals court as critical gas Pipeline Project moves forward

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Northeast Supply Enhancement pipeline project will begin construction as last minute attempts by environmental opposition is rejected in court.

A federal appeals court has upheld New York’s water quality permits for the Northeast Supply Enhancement pipeline, rejecting a challenge from environmental organizations seeking to overturn the state’s approval of the major regional energy infrastructure project.

The U.S. Court of Appeals for the Second Circuit issued a summary order Aug. 21 dismissing the challenge to permits granted by the New York State Department of Environmental Conservation to Transcontinental Gas Pipe Line Company, commonly known as Transco.

The Northeast Supply Enhancement project, or NESE, is an expansion of Williams’ existing Transco natural gas pipeline system through Pennsylvania, New Jersey and New York. The project is designed to increase natural gas capacity into New York City and Long Island.

Environmental organizations challenged New York’s decision to issue a Clean Water Act Section 401 Water Quality Certification and related permits in November 2025.

The challenge focused in part on DEC’s decision to approve the project after the agency had rejected previous permit applications in earlier years.

The appeals court, however, found that DEC acted reasonably when evaluating the latest application and rejected arguments that the agency’s change in position made its approval arbitrary or capricious.

The ruling leaves New York’s water quality certification in place.

“DEC subjects applications for environmental permits to a transparent and rigorous review process to protect public health and the environment,” DEC spokesperson Dana Ferine said following the ruling.

The agency said it will continue monitoring construction and compliance with permit requirements to protect New York waterways.

A project revived after years of permitting disputes

NESE has had a lengthy regulatory history in both New York and New Jersey.

The project appeared unlikely to move forward after environmental regulators denied earlier permit applications. Transco later returned with new applications, and the project ultimately received key state approvals in 2025.

New York DEC approved the latest application in November 2025 following another environmental review and public comment process.

The New York portion includes approximately 17.4 miles of a new 26-inch-diameter pipeline in state waters. The pipeline would connect to the existing Rockaway Delivery Lateral in Queens and provide additional natural gas capacity for National Grid customers in Brooklyn, Queens and Long Island.

The broader NESE project is expected to add approximately 400,000 dekatherms per day of capacity to the Transco system.

Federal regulators have also approved the project, and construction activities are underway.

The court decision is significant for a project that has faced years of regulatory and legal uncertainty. While the ruling does not resolve every legal challenge involving NESE, it removes an effort to overturn one of the major state approvals required for construction.

Balancing environmental review with delivering critical infrastructure

Environmental organizations opposing NESE have argued that construction could damage waterways and sensitive marine habitat while expanding the region’s reliance on natural gas.

Those concerns played a significant role in earlier permit denials and remained central to the groups’ challenge of the 2025 approval.

DEC has maintained that its latest decision followed a project-specific review under state and federal environmental requirements. The agency’s approval includes conditions governing construction and environmental protection, which regulators say they will monitor as work proceeds.

The dispute highlights a broader challenge facing major infrastructure projects throughout the Northeast: balancing environmental review and permitting requirements with the need to provide certainty once projects have completed those processes.

For contractors and construction workers, prolonged permitting and litigation can also have practical consequences. Major infrastructure projects require significant advance planning for workforce, equipment, scheduling and construction seasons, meaning uncertainty over whether work can proceed can extend beyond the project developer itself.

NESE is also moving forward as New York and New Jersey confront broader questions over energy reliability, affordability and future demand.

The Second Circuit ruling does not settle those larger debates. But on one key question — whether New York acted reasonably when it issued its latest water quality approval — the federal appeals court sided with the state.

For now, New York’s permits remain in place and construction on the Northeast Supply Enhancement project can continue.

Sources:

E&E News by POLITICO. (2026, August 24). Appeals court tosses case challenging New York permits for NESE pipeline.

New York State Department of Environmental Conservation. (2025, November 7). DEC statement on water quality certification for proposed Northeast Supply Enhancement Pipeline Project.

New York State Department of Environmental Conservation. (2025). Responsiveness summary: Northeast Supply Enhancement (NESE) Pipeline Project.

U.S. Department of Energy. (2026, April 14). Wright, Zeldin, and Burgum break ground on NESE Pipeline in New York City to deliver reliable, affordable natural gas to the Northeast.

New Jersey requires data centers to report energy and water use

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New reporting rules are part of a broader state plan intended to protect ratepayers, give municipalities more leverage and capture more local benefits from data center development.

New Jersey data centers will be required to report their energy and water use to state regulators twice a year under a new law. Gov. Mikie Sherrill signed S3379/A4096 on August 27, completing the final pieces of a four-part data center policy announced in May. Along with the reporting law, the state released guidance to help municipalities negotiate community benefits agreements with data center developers and established technical assistance teams through the New Jersey Economic Development Authority (NJEDA), Department of Environmental Protection (DEP) and Board of Public Utilities (BPU).

The policy does not seek to stop data center construction. Instead, it creates new rules intended to make the industry’s resource use more visible, prevent residential and commercial utility customers from subsidizing its power needs and give host communities a larger role in deciding what developments should provide in return.

What data centers must disclose

Under the new law, owners and operators must submit semiannual reports to the BPU detailing how much energy and water their facilities consume. Existing data centers that have operated for at least one year must file their first report within three months; other facilities have six months.

The reports must include total energy consumption, electricity used by information technology equipment, energy and fuel used for cooling, the electric utility serving the facility and information about on-site and backup power systems. Operators must also disclose total and peak daily water use, the source of that water and whether it is potable or reclaimed.

Facilities receiving state financial incentives face additional reporting requirements. They must provide performance measurements such as power usage effectiveness, water usage effectiveness, renewable energy use and the amount of waste heat reused. These measurements can help regulators distinguish between the power used to operate servers and the additional electricity and water required to keep those servers cool.

The BPU must publish certain reported information on its website within 30 days. Performance and sustainability information protected under the law will remain confidential, although anonymized and aggregated information from at least five facilities may be included in public reporting.

The reporting requirement initially runs for three years from a facility’s first filing. At the end of that period, the BPU can decide through the regulatory process whether to make it permanent. Data center operators must also give the BPU at least 60 days’ notice before making a substantial operational or technological change that would require their reported information to be updated. 

Why energy and water use matter

Data centers are the physical backbone of our modern, digital lives, from iphones to cloud computing, streaming, online services and artificial intelligence. They house large concentrations of servers that operate continuously; the equipment requires significant electricity, along with cooling systems that may consume additional power and water.

That concentration of demand can create costs far beyond a data center site. A large facility may require new substations, transmission improvements, water and sewer upgrades, road work and added fire protection. Without clear rules assigning those costs, utilities, municipalities and other ratepayers can be left carrying part of the burden.

The reporting law is designed to establish a clearer picture of those demands. Reporting does not by itself reduce consumption or expand infrastructure. Its value will depend on how the BPU and DEP organize the information, how much facility-level data becomes publicly accessible and whether state and local officials use the findings when reviewing future projects.

Towns receive a framework for negotiations

The New Jersey Department of Community Affairs (DCA) separately issued guidance on community benefits agreements, which are legally binding contracts between developers and host municipalities. The agreements can require a developer to address local impacts or fund investments connected to the project.

The state is advising municipalities to evaluate water and wastewater capacity, electric infrastructure, roads, stormwater systems, fire protection and emergency response before reaching an agreement. Depending on a project’s effects, a municipality could seek funding for road reconstruction, water and sewer main improvements, firefighting equipment, emergency training, blight remediation, schools, workforce development or other local priorities.

The guidance also encourages towns to examine noise, light pollution, stormwater, water-efficient cooling, heat recovery and the eventual decommissioning of a facility. State officials recommend public engagement and long-term compliance measures so an agreement remains enforceable after construction is complete.

This is guidance rather than a single mandatory statewide agreement. Each municipality will still have to assess its own infrastructure, negotiate terms and retain legal and technical expertise. The NJEDA’s new municipal resource hub is intended to help local officials evaluate developer information and connect with specialists in energy, water and economic impacts. 

A wider effort to shift costs and create jobs

The new requirements build on a law Sherrill signed July 7 that creates a separate utility rate class for large data centers. The BPU must develop standards and cost-allocation rules intended to prevent other customers from subsidizing the electricity and grid infrastructure required by those facilities. The law also encourages data centers to add clean power and reduce their demand when the grid is strained.

New Jersey has also established labor standards for data center construction. Projects designed to use at least five megawatts are subject to prevailing wage requirements, contractor registration, certified payroll reporting and safety and training standards. State guidance encourages project labor agreements for facilities designed to use 25 megawatts or more.

Data centers can bring major private investment, construction work and tax revenue, but their benefits and burdens are not distributed automatically. New Jersey’s framework attempts to link approval and operation more closely to the cost of the power, water and public infrastructure these facilities require.

The next stage will happen at the BPU and in individual municipalities. Regulators must turn the laws into workable reporting and rate rules; local officials must use the new information and negotiating tools to decide whether proposed projects provide enough lasting value to justify their demands on community resources.

Sources:

New Jersey Department of Community Affairs, Division of Local Government Services. (2026, August 25). Local Finance Notice 2026-13: Data centers. https://www.nj.gov/dca/dlgs/lfns/2026/2026-13.pdf

New Jersey Legislature. (2026). S. 3379: Requires data center owners and operators to submit semi-annual water and energy usage reports to BPU. https://www.njleg.state.nj.us/bill-search/2026/S3379

New Jersey Office of the Governor. (2026, August 27). Governor Sherrill delivers all four pillars of data center plan, puts power back in the hands of communities. https://www.nj.gov/governor/news/2026/20260827a.shtml

NJBIZ. (2026, August 27). NJ data center energy and water reporting law. https://njbiz.com/nj-data-center-energy-water-reporting-law/

New York budget commits $750 million to clean water infrastructure

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Record environmental funding includes programs aimed at supporting housing development and protecting public health.

New York’s fiscal year 2027 budget includes $750 million for water infrastructure, increasing support for aging drinking water, wastewater and stormwater systems while creating two new funding streams tied to housing development.

The largest portion is $525 million for the Clean Water Infrastructure Act, a $25 million increase from the previous year. The latest appropriation brings total state funding through the program to $6.5 billion since 2017.

The budget also provides $175 million for water infrastructure that supports housing development and another $50 million for projects serving rural housing. Together, the three appropriations represent a significant investment in the infrastructure communities need to protect public health and accommodate responsible growth.

Funding aging systems

The Clean Water Infrastructure Act helps municipalities repair and modernize drinking water and wastewater systems. Eligible work can include replacing aging water mains, upgrading treatment facilities, improving sewer systems and addressing contaminants such as lead and PFAS.

These projects are often expensive for municipalities, particularly smaller communities with limited tax bases. State grants and low-cost financing can reduce the amount that must be passed on to local ratepayers while helping projects move from planning into construction.

The Environmental Facilities Corporation administers many of New York’s water infrastructure programs. Its financing packages combine state grants with state and federal revolving funds, allowing municipalities to borrow at below-market or interest-free rates.

New York has made water infrastructure a central part of its environmental and economic development strategy. In announcing her fiscal year 2027 environmental agenda, Gov. Kathy Hochul proposed a five-year, $3.75 billion commitment equal to $750 million annually for water projects.

Connecting water infrastructure and housing

The two new housing-related appropriations recognize that housing cannot be built or preserved without adequate water and sewer capacity. In some communities, outdated or undersized systems have become a barrier to new development; in others, failing infrastructure threatens existing homes.

However, expanding water and sewer service can also encourage development farther from established communities, adding long-term maintenance costs and contributing to sprawl. Language included in the final budget seeks to direct the new funding toward projects that provide water access, protect public health and prioritize disadvantaged communities.

The Environmental Facilities Corporation must develop a plan for distributing the housing-related funding and share it with the state Senate and Assembly within 60 days of its approval. The agency must also consider projects that improve existing drinking water, wastewater and stormwater systems.

That guidance could help direct funding toward infill development and housing preservation, where existing neighborhoods need infrastructure improvements to support additional homes. Upgrading current systems may also allow communities to add housing without extending pipes, roads and other public services into undeveloped areas.

The practical impact will depend on the criteria EFC adopts and the projects ultimately selected. Municipalities will also need the planning and engineering capacity to identify eligible improvements and prepare competitive applications.

Broader environmental investment

The water funding is part of a broader environmental package that maintains historically high support for conservation, parks and natural resources. The budget appropriates $425 million to the Environmental Protection Fund, with an additional $25 million from the Sustainable Future Program bringing support for environmental programs to a record $450 million.

The Environmental Protection Fund supports land conservation, farmland protection, water-quality initiatives, municipal parks, environmental justice programs and public access to outdoor spaces across the state.

For communities, the water appropriations could have the most immediate infrastructure impact. Drinking water plants, sewer systems and underground pipes are essential public assets, but much of that infrastructure is aging and increasingly expensive to repair.

Sources:

New York State Department of Environmental Conservation. (2026, July 17). DEC releases 2026–2030 Hudson River Estuary Action Agenda. https://dec.ny.gov/news/press-releases/2026/7/dec-releases-2026-2030-hudson-river-estuary-action-agenda

New York State Division of the Budget. (2026). FY 2027 New York State enacted budget financial plan. https://www.budget.ny.gov/pubs/archive/fy27/en/fy27fp-en.pdf

New York State Department of Financial Services. (2026, January 13). Governor Hochul unveils plan to invest in nation-leading environmental protection initiatives and ensure a greener, healthier, and more resilient New York State. https://www.dfs.ny.gov/reports_and_publications/press_releases/pr202601137

Natural Resources Defense Council. (2026, June 23). New York’s 2026 legislative session: Wins, unfinished fights, and troubling rollbacks. https://www.nrdc.org/media/new-yorks-2026-legislative-session-wins-unfinished-fights-and-troubling-rollbacks