Texas leads nation in proposed power plants for data centers, which would emit large amounts of air pollution
Texas is leading the nation in proposed power plants for data centers, with 32 projects planned statewide to meet growing electricity demand. A report highlights that these natural gas-fired plants would significantly increase air pollution and greenhouse gas emissions, raising concerns about climate and public health. Both state and local governments are grappling with policy responses, including directives on cost-shifting and consideration of moratoriums or bans on new data center construction.
Texas is experiencing a significant surge in data center development, prompting proposals for 32 new natural gas-fired power plants to supply dedicated electricity to these facilities. A report from the Environmental Integrity Project (EIP), authored by research analyst Griffin Bird and executive director Jen Duggan, highlights that these plants, many planned for counties like Comal, Anderson, Bexar, Pecos, and Caldwell, could emit over 287 million tons of greenhouse gases annually and thousands of tons of other air pollutants, contributing to climate change and posing health risks, particularly in already vulnerable lower-income communities.
Community advocates and air quality experts, including Neil Carman, a former Texas Commission on Environmental Quality investigator, express concerns about grid strain, rising electricity bills, and the exacerbation of existing air quality problems, especially in areas with limited monitoring like West Texas. One notable project, "Project Matador" by Fermi America (led by former Texas Gov. Rick Perry) near Amarillo, could require 11,200 megawatts of power and emit 40 million tons of greenhouse gases annually.
In response to the rapid growth, state leaders are addressing the industry's impact. President Donald Trump advocated for developers to build on-site power plants to protect ratepayers, a stance echoed by Texas Gov. Greg Abbott, who directed utilities to shift infrastructure costs to developers and plans to propose new power generation requirements for facilities in the 2027 legislative session. Simultaneously, some Texas counties have explored temporary moratoriums on data center construction to assess energy and water needs, with the city of San Marcos successfully enacting a ban, potentially setting a precedent for other localities. The Data Center Coalition, represented by Vice President Dan Diorio, asserts the industry's commitment to energy efficiency and environmental stewardship.