Mississippi developer plans to move forward with data center plans, even as state declines to give ruling
The Mississippi Public Service Commission declined to issue an opinion on PraCon Global Investment Group's proposed AI industrial campus and private power plant in the Jackson metro area, citing insufficient information. Despite this, PraCon plans to proceed, facing protests from state power companies over public utility classification. Meanwhile, Jackson's City Council is considering a data center moratorium, and Ridgeland has enacted zoning restrictions.
The Mississippi Public Service Commission (PSC) declined to issue an opinion on PraCon Global Investment Group's proposed AI industrial campus and private power plant, deeming the developer's request "premature" and "hypothetical" due to a lack of detailed information. Despite this, Gabriel Prado, CEO and president of PraCon, stated the company plans to move forward with the project in the Jackson metro area, viewing the PSC's decision as favorable for his legal strategy.
State utility regulators and power companies, specifically Entergy Mississippi and Mississippi Power, are protesting PraCon's effort to generate and supply power to its tenants, arguing that such an arrangement would classify Prado AI, an affiliate of PraCon, as a public utility subject to PSC rules. PraCon AI disputes this, citing an exemption for landlords supplying electricity to tenants, though the utility companies contend this only applies to transmission, not generation, and that a "certificate of public convenience and necessity" (CPCN) would still be required.
Locally, the project faces ongoing discussions and potential restrictions. Jackson officials are grappling with potential zoning changes and the City Council is considering a six-month moratorium on data center construction. Separately, Ridgeland officials in April passed an ordinance creating a 500-foot buffer between data centers and residents and requiring facilities to plan for utility needs.