Proposed Arabia Power data‑center and gas‑plant projects raise water, zoning and tax concerns in Lyon County
News Clipcitizenportal.ai·Silver Springs, Lyon County, NV·4/4/2026
Arabia Power (Erevia) presented pre-NEPA proposals for three hyperscale data center campuses and a 400-MW gas plant in Lyon County. Lyon County commissioners and residents raised significant concerns regarding local water supply, nearby residential zoning compatibility, and potential tax abatement impacts. The projects are in early stages, with environmental planning expected later this year.
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Gov: BLM, Lyon County commissioners
Federal and private project proponents briefed Lyon County commissioners on March 19 regarding several large energy and data infrastructure proposals on public land. Arabia Power, operating under the trade name Erevia Power, detailed plans for three hyperscale data center campuses: Silver Springs West (700 acres), On The Mark (530 acres), and Silver Springs South. Additionally, the company proposed the Scorpio Energy Center, a 400-MW gas plant coupled with a 400-MW battery, near existing Fort Churchill facilities.
Commissioners and residents expressed strong reservations, particularly concerning local water supply, with one commissioner voicing outright opposition. Rafiq Albert, executive vice president for lands and permitting at Erevia Power, stated that the data centers would use "very low water use" technologies. Concerns were also raised about the proposed sites being surrounded by residential land, making them potentially unsuitable for heavy industrial uses. Furthermore, officials questioned the benefits to the county from projects on federal land and the implications of potential tax abatements.
Presenters shared a preliminary economic analysis estimating 300 long-term jobs and $30 million in annual post-abatement tax revenue per campus, though this is subject to negotiation. No county approvals were sought at the meeting, as the projects are in early, pre-NEPA stages. Commissioners requested more detailed information on water usage, traffic analyses, and explicit details on any contemplated abatements or incentives before any county entitlements are pursued.