El Paso Electric filings detail power plant impact behind Meta’s $10 billion data center

Meta Platforms is significantly expanding its data center investment in El Paso, Texas, from an initial $1.5 billion to a substantial $10 billion. This massive expansion necessitates El Paso Electric, the local utility, to expedite the construction of a new nearly $500 million, 366-megawatt power plant designed specifically to service the data center. Filings with the Public Utility Commission of Texas indicate that the plant's cost, initially borne by Meta for a short "bridge" period, will eventually shift to all El Paso Electric ratepayers. The proposed power facility will consist of 813 small, gas-fired generators that are air-cooled, thus not requiring water for cooling, but will emit pollutants such as carbon monoxide and nitrogen oxides. Public backlash against the data center has been considerable, with concerns centering on the facility's estimated average daily water consumption of 400,000 gallons, the air pollution from the on-site power plant, and the generous tax breaks provided by the city and county, including an 80% property tax abatement for decades and $12.5 million for infrastructure. The city of El Paso has organized multiple community meetings to address feedback regarding future data center development. El Paso District 8 City Representative Chris Canales, who initially voted for the economic development incentives in late 2023, has publicly expressed regret, stating he would not support it today. In response to criticism, Meta executives, including Brad Davis, director of data center community and economic development, announced increased community investments, such as a $500,000 grant program for the El Paso Independent School District for job training, a $25,000 donation to El Paso Water for bill assistance, and funding for projects with the nonprofit DigDeep to provide water/sewer service to 100 homes. Meta also claims its water-related projects will conserve twice the amount of water the data center consumes in El Paso and plans to develop renewable energy projects to offset emissions from the power plant.