US defends xAI data center's unpermitted gas turbines in Clean Air Act lawsuit

A lawsuit targeting Elon Musk's company xAI Corp. and its subsidiary MZX Tech LLC for operating unpermitted gas turbines in Southaven, Mississippi, has escalated with the intervention of the US Department of Justice. The turbines, which power a data center complex intended for Memphis, were installed and operated without an air permit. The NAACP initially filed the lawsuit, alleging violations of air pollution regulations under the Clean Air Act.

The Department of Justice's decision to join the case, citing national security, has drawn criticism from environmental advocates. David Uhlmann, a former top EPA enforcement official, warned that the DOJ's stance could undermine citizen enforcement provisions within the Clean Air Act, potentially allowing administrations to bypass environmental laws for favored projects. DOJ spokesperson Matthew Nies affirmed the agency's commitment to environmental laws but stated that enforcement requires balancing public interests, including national security, and that the federal government has the authority to intervene.

xAI's general counsel, James Burnham, expressed gratitude for the DOJ's support. The company installed 57 gas turbines, with two more expected, which an analysis suggests could emit 5,300 tons per year of smog-forming nitrogen oxide, potentially making it the region's largest source of such pollution. Mississippi officials reportedly did not require a permit, deeming the turbines temporary, despite a recent EPA rule clarifying that temporary turbines are subject to pollution controls.

Environmental lawyers like Laura Thoms of Earthjustice, representing the NAACP, argue that the DOJ's attempt to veto citizen suits is