Fit Energy’s Pa.-based data center plan, at a former mine, faces opposition after zoning permits

Despite vocal opposition from local community residents, Fit Energy is moving ahead with plans to turn mined land in Luzerne County into a data center campus powered by utility-grid electricity and on-site natural gas fuel cells.

The company announced the project Tuesday, saying it had received zoning approval in August for data center and power generation uses. Fit Energy is backed by Montreal-based private equity firm Fit Ventures, according to the Times Leader. Fit Energy has not disclosed the campus’s expected electric load, construction cost, tenant or timetable for opening.

Fit Energy said in its Oct. 6 press release: “Engineering and the remaining permitting work are now underway ahead of construction.”

The Newport project advances amid a broader U.S. data center buildout that has drawn local opposition over power, water and land use.

At an Oct. 5 commissioners meeting, residents filled a high school auditorium and pressed township officials for those details. Speakers challenged the timing of the public notice and raised questions about water, power, traffic and emergency services.

Township officials told residents the permits establish that the proposed uses comply with local zoning. The developer still must submit land development plans for review by the township engineer and planning committee. Officials said at the meeting that those plans had not yet been submitted.

Fit Energy’s announcement describes a former mining and aggregate property. The company says it plans to use fuel cells supplied by Connecticut-based FuelCell Energy to generate electricity on site, reducing reliance on the regional grid. 

Fuel cells make power through an electrochemical process rather than combustion, though the proposed system would still consume natural gas. Fit Energy and FuelCell Energy announced a supply agreement in June for up to 380 megawatts of fuel cells, beginning with a deposit for 30 megawatts. That agreement did not name project sites.

The company also says it plans investments in gas, water, sewer and power infrastructure and is discussing a community benefits agreement with the township. It has not specified the size of those investments or the agreement’s terms. A public information session is planned, but Fit Energy has not announced a date. Commissioners said they had asked the developer to hold a public meeting by the end of October.

Officials said permits were issued for 15 data center buildings and three gas generation facilities. The developer’s project website describes a campus of approximately 1,386 acres near the Glen Lyon and Lee sections of Newport Township.

Township building inspector Jason Humanski identified 75 Main Road in the Lee section as a project address. That property is an active mining and quarry operation owned by Newport Aggregate Inc., according to the Times Leader. A Pennsylvania Bulletin notice this year lists Newport Aggregate in a renewal application for an anthracite coal refuse reprocessing operation affecting 78 acres in Newport and Conyngham townships.

Officials said a land sale had not yet closed. Fit Energy has not identified the seller or explained how mining permits would change if development proceeds.

Speakers described wells, quarry noise and truck traffic already affecting nearby neighborhoods. They asked what new construction and power infrastructure would mean for water supply, roads and property values.

One resident said she had collected 280 signatures against the project from only a few streets in Glen Lyon. “We deserve to know what’s going on in our hometown,” another speaker told commissioners after asking why the zoning permits were not discussed on the September meeting agenda. The crowd applauded, and later cheered when a speaker asked who opposed the project.

Township officials said permits are ordinarily reported through code enforcement rather than listed individually on the agenda. They also said the developer had yet to present land development plans that would answer many of the technical questions. Humanski said the developer paid “well over” $10,000 in permit fees.

Fit Energy says on-site generation will ease pressure on the grid, but its release gives no fuel-cell capacity, gas demand or plan for backup power. The company describes infrastructure upgrades and tax benefits without estimates that residents or the township can test publicly.

Township manager Joe Hillan offered support in the company’s release, saying officials welcomed the investment and Fit Energy’s willingness to address community concerns. At the public meeting, however, residents repeatedly asked why the first detailed account of the proposal came after permits were issued. Commissioner John Zyla told them, “It’s a proposal. We have not met with anybody.”

The next substantive milestone is a land development submission.