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Greenhouse gases from data center boom could outpace entire nations

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Why This Matters

The rapid expansion of data centers powered by natural gas poses a significant environmental threat, potentially surpassing entire nations' emissions and accelerating climate change. This highlights the urgent need for sustainable energy solutions within the tech industry as AI infrastructure grows. Consumers and policymakers must prioritize clean energy to mitigate these environmental impacts.

Key Takeaways

New gas projects linked to just 11 data center campuses around the US have the potential to create more greenhouse gases than the country of Morocco emitted in 2024. Emissions estimates from air permit documents examined by WIRED show that these natural gas projects—which are being built to power data centers to serve some of the US’s most powerful AI companies, including OpenAI, Meta, Microsoft, and xAI—have the potential to emit more than 129 million tons of greenhouse gases per year.

As tech companies race to secure massive power deals to build out hundreds of data centers across the country, these projects represent just the tip of the iceberg when it comes to the potential climate cost of the AI boom.

The infrastructure on this list of large natural gas projects reviewed by WIRED is being developed to largely bypass the grid and provide power solely for data centers, a trend known as behind-the-meter power. As data center developers face long waits for connections to traditional utilities, and amid mounting public resistance to the possibility of higher energy bills, making their own power is becoming an increasingly popular option. These projects have either been announced or are under construction, with companies already submitting air permit application materials with state agencies.

Michael Thomas, the founder of clean energy research firm Cleanview, has been tracking gas permits for data centers across the country. He calls behind-the-meter power “a crazy acceleration of emissions.”

“It’s almost like we thought we were on the downside of the Industrial Revolution, retiring coal and gas, and now we have a new hump where we’re going to rise,” he says. “That terrifies me in a lot of ways.”

One of the first—and most notorious—examples on this list is in Memphis, Tennessee. xAI made national headlines in 2024 after it began to set up gas turbines at its first data center campus in the city, Colossus 1, to quickly develop Grok, its AI. Community members living in the low-income Black community around the campus, concerned about air pollution, rallied to protest the turbines. (The EPA ultimately approved the use of turbines for the xAI campus last year; last month, regulators granted a permit for an xAI affiliate for the company’s second campus in Southaven, Mississippi, despite widespread community opposition. The NAACP filed suit against xAI last week, claiming the company was illegally operating the turbines.)

xAI’s gas turbines also represent what could be a significant source of greenhouse gas emissions. Air permit applications for both the Colossus campus in Memphis and the nearby Colossus 2 campus in Southaven show that the turbines on each campus could generate more than 6.4 million tons of CO2equivalents at each site per year. Combined, that’s roughly equivalent to the emissions from more than 30 average-size natural gas plants, or enough energy to power 1.5 million homes. (xAI did not respond to a request for comment.)

Microsoft, meanwhile, is reportedly looking into purchasing power from a Chevron-backed natural gas project in West Texas. That single project, according to its permit, could emit more than 11.5 million tons of greenhouse gases each year—more than the yearly emissions of the entire country of Jamaica.

“Microsoft takes a portfolio approach to energy, leveraging a range of solutions to meet reliability needs while continuing to invest in carbon-free electricity,” Melanie Nakagawa, the chief sustainability officer at Microsoft, told WIRED in a statement. “In certain regions, dedicated onsite energy infrastructure may be part of that portfolio, particularly where grid constraints limit the pace of deployment.”

The emissions projections for the xAI and Microsoft projects, and all the others on WIRED’s list, were pulled directly from publicly available air permit documents in state databases as well as public air permit materials collected by both Cleanview and Oil and Gas Watch, a database maintained by the Environmental Integrity Project, an environmental enforcement nonprofit. Actual greenhouse gas emissions from power plants are usually lower than what’s on their air permits. Air permit modeling is based on the scenario of a power plant constantly running at full capacity. That’s rarely the reality for grid-connected power plants, as turbines go offline for maintenance or adjust to the ebbs and flows of customer demand.

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