New Mexico Lawmakers Debate Environmental Impact of Large Data Centers and Proposed Moratorium
Environmental advocates and some New Mexico lawmakers are concerned that large data centers like Project Jupiter, being developed by Oracle and OpenAI in Doña Ana County, could negate decades of air quality progress due to their reliance on natural gas or fuel cell microgrids. A public hearing is pending for Project Jupiter's air quality permit, while a group of lawmakers is proposing a large-scale data center moratorium for the next legislative session.
Energy expert David Baake, an attorney and energy policy consultant for Western Resource Advocates, informed New Mexico lawmakers that power plants built for large data centers like Oracle and OpenAI's Project Jupiter in Doña Ana County could reverse 20 years of air quality improvements. Baake highlighted that such data centers often use natural gas or fuel cell microgrids, which emit significant greenhouse gases.
Project Jupiter's developers initially sought permits for two natural gas plants, later revising the proposal to use fuel cells. Despite the revision, documents with the New Mexico Environment Department indicate emissions would still be substantial, potentially exceeding all existing power plants in New Mexico combined, effectively setting the state's electric sector CO2 levels back to 2005. A public hearing on Project Jupiter's air quality permit application is pending.
Lawmakers on the interim Water and Natural Resources Committee discussed the environmental impact of hyperscale data centers throughout the day, with future meetings also set to address the topic. Rep. Micaela Lara Cadena (D-Mesilla), a critic of Project Jupiter, is part of a group proposing a large-scale data center moratorium for the upcoming legislative session. Baake also recommended reviving the Microgrid Oversight Act, which failed earlier this year, to regulate microgrids more closely and ensure compliance with the state's Energy Transition Act.