New Jersey fined the DataOne AI data center $1.07 million for running dozens of natural-gas generators without state air permits.

The Department of Environmental Protection announced the penalty on September 22. Inspectors found 62 large generators at the Vineland facility, with a combined capacity of about 123 megawatts. None had the required preconstruction permits or operating certificates.

The generators were not present during a December 2025 inspection but were running by July 2026. Thermal drone footage captured by the nonprofit newsroom Floodlight showed at least 45 of the 62 units in operation in August.

The Vineland site is a major AI computing project linked to Microsoft through a $17 billion arrangement with infrastructure provider Nebius. DataOne says the generators are temporary and disputes the state’s findings. It plans to apply for permits while shifting to fuel cells.

The state gave the company 45 days to apply for permits or shut the generators down. Officials called it the largest data center enforcement action in New Jersey history.