Nevada Regulators Approve Storey County Gas Plants Despite Two Hours Of Public Pushback
Nevada's Public Utilities Commission conditionally approved two methane gas power plants in Storey County, proposed by data center developers, despite significant public opposition. The decision raises concerns about public engagement, environmental impact, and how data center energy demands are met outside of state climate laws. Legislators are now considering revisions to the commission's public hearing process to improve access.
Nevada's Public Utilities Commission (PUCN) has granted conditional approval for two methane gas power plants in Storey County, proposed by data center developer Fleet Data Centers, a subsidiary of Tract Capital Management. This decision was made despite more than two hours of public testimony opposing the projects, which aim to supply 360 megawatts of power to Fleet's Peru Ridge and South Valley campuses within the Tahoe Reno Industrial Center, addressing power needs that exceed NV Energy's current capacity.
The approval has sparked criticism regarding public access to regulatory processes. The Bureau of Consumer Protection replaced an anticipated in-person consumer session for NV Energy's Integrated Resource Plan with an online survey, a move that prompted objections from clean energy advocates like Justin Hopson of the Faith Organizing Alliance and community advocate Tony Chavez. Opponents, including Nevadans for Clean Affordable Reliable Energy, highlighted that the new plants could burn three times the methane gas consumed by NV Energy's entire Northern Nevada residential and commercial customer base.
Fleet Data Centers' plants are structured to operate as private facilities, allowing them to bypass Nevada Senate Bill 358, which mandates a 50% Renewable Portfolio Standard for electric utilities by 2030. This distinction enables the company to operate outside state climate law requirements. Meanwhile, in response to broader frustrations over limited public engagement, the Nevada Legislature's Joint Interim Standing Committee on Government Affairs approved Bill Draft Request 498, proposing revisions to the PUCN's public hearing process to enhance transparency and public access ahead of the 2027 legislative session.
The rapid growth of data centers is significantly impacting Nevada's energy infrastructure. NV Energy forecasts indicate that data centers, which constituted about 5% of the utility's total electricity sales in 2026, are projected to account for approximately 64% statewide and 82% for northern Nevada by 2046. This surge in demand is compelling regulators across the state to reevaluate how the costs of new infrastructure are distributed between tech developers and everyday ratepayers.