New $16B natural gas generation hub being built in East Texas, data center to follow

A $16 billion natural gas-fired power generation hub, jointly owned by Japan and the U.S. federal government, is slated for rural Anderson County in East Texas. The U.S. Department of Commerce confirmed that a new data center will be built alongside the power facility, which is a direct outcome of a trade agreement between President Donald Trump and Japanese Prime Minister Sanae Takaichi. NextEra Energy, identified as the largest energy infrastructure builder in the U.S., will construct and operate the 5.2 GW power generation hub. Comstock Inc. is tasked with supplying the natural gas. NextEra Energy Chairman, President, and CEO John Ketchum stated that the initiative aims to meet rising demand, strengthen the U.S. industrial base, and support large-scale users like data centers and advanced manufacturing, ensuring America's energy security. Despite the economic promises, the project has sparked considerable opposition among local residents and statewide. Constituents of Texas Rep. Cody Harris, R-Palestine, have voiced concerns that the new AI data center could severely deplete Lake Palestine or the Neches River. Opposition to data centers in rural Texas is also broad among both Republican and Democratic state legislators. In response to these concerns, Texas Rep. Helen Kerwin, R-Glen Rose, has advocated for an immediate halt on data center proposals to allow for comprehensive impact studies. Additionally, Texas Rep. Erin Zwiener, D-Driftwood, announced the formation of a new data center working group to address issues in her central Texas community, highlighting ongoing governmental and public scrutiny over data center developments and their environmental implications.