Nevada data center growth drives approval of temporary gas plants
The Public Utilities Commission of Nevada has approved temporary natural gas plants to power two data centers developed by Fleet Data Centers, a subsidiary of Tract Capital, in northern Nevada. This decision addresses the increasing pressure on the region's energy infrastructure due to rapid data center growth. The approval faced public opposition citing environmental concerns regarding air quality and water resources.
The Public Utilities Commission of Nevada (PUC) has approved applications from Fleet Data Centers, a subsidiary of Denver-based Tract Capital, for two temporary natural gas-fueled power plants in northern Nevada. These plants are intended to power the company's South Valley and Peru Ridge data centers, providing 362 megawatts of power. Tract Capital stated that the temporary system is necessary because data center growth in the Tahoe-Reno Industrial Center (TRIC) is outpacing NV Energy's ability to build permanent power infrastructure.
The South Valley power plant, with a 144 MW capacity, will be located in Sparks, and the Peru Ridge plant, with 218 MW, will be near Reno within the TRIC. Construction is slated to begin in early 2027, with the plants expected to be operational for two to three years. Tract Capital affirmed that the plants will incur no cost to Nevada residents and will bring economic benefits to Storey County.
Despite the approval, the decision faced significant public criticism during the PUC meeting. Residents like Elizabeth Bree Kasper and Mary Levinson voiced strong environmental concerns, arguing the plants would have destructive impacts on northern Nevada's air quality, water resources, and climate, challenging the notion of them being