Stargate Seeks Permit for 41 Turbines and 18 Generators After Using Texas Loophole
Updated
Updated · WIRED · Jul 9
Stargate Seeks Permit for 41 Turbines and 18 Generators After Using Texas Loophole
3 articles · Updated · WIRED · Jul 9
Summary
Stargate’s developers have filed a major Texas air permit to add 41 turbines and 18 generators at the Abilene AI data center, a move that would make it one of the state’s largest fossil-fuel power plants.
The filing follows 2024 minor permits for 10 turbines and 62 diesel generators, which avoided environmental studies and public notice under rules typically used for small polluters.
Former EPA and Texas regulators told Floodlight the staggered "small first, big later" approach may conflict with project-aggregation rules and left nearby residents with little meaningful chance to object before construction advanced.
Crusoe says the project boosts Abilene’s economy and that turbines are for backup power, but residents report dust, traffic and fears over pollution after learning of the expansion only recently.
Floodlight found at least 38 Texas data centers have used similar minor permits since 2024, underscoring how the AI boom is driving a wider gas-powered "shadow grid" buildout in the state.
Texas bet big on AI data centers, but is the state now regretting its open-door policy?
Are massive, gas-powered data centers a necessary evil for achieving AI supremacy?
As AI's 'shadow grid' expands, how can communities protect themselves from regulatory loopholes?
Texas Data Center Boom Faces Reckoning: Community Pushback, Regulatory Loopholes, and the Fight Over Billions in Infrastructure Costs
Overview
Texas is rethinking its rapid data center expansion as financial pressures hit major tech companies and both local communities and state politicians push back. Oracle, for example, faces big spending plans but negative cash flow, slowing its AI infrastructure growth. At the same time, only part of its Abilene campus is active, while Nvidia has stepped in to secure the site, aiming to block competitors. This growing resistance, combined with political calls for stricter oversight and concerns about costs and community impacts, signals a shift toward more careful and regulated data center development in Texas.