Spacex Proposes $24 Billion Texas Data Center Powered by Gas
WHO:
The Texas Tribune - SpaceX is planning the project; the city of Starbase announced it as a “gas-fired power plant and super-compute facility.”
The Texas Tribune - Brownsville resident and school teacher Janie Melendez said, “There’s a lot of people that need jobs in our community and SpaceX has contributed to those jobs.”
The Texas Tribune - Melendez said, “Since SpaceX moved in, my home has tripled in value,” and said she tries “to find a balance in everything.” She previously served on the Texas Republican Party’s executive committee.
The Texas Tribune - The South Texas Environmental Justice Network announced a protest against the project.
The Texas Tribune - Gov. Greg Abbott and Governor-elect Gina Hinojosa are among the state officials addressing data-center development.
Bloomberg Markets — “Officials Work to Speed Grid Connection Amid Data Center Buildout” - Ed Hirs, an energy fellow at the University of Houston, discussed data-center power needs and government responses in Texas and across the United States.
Bloomberg Markets — “Data Center Gas Plants to Lift US Power Emissions 10%, BNEF Says” - BloombergNEF reported on projected emissions from announced natural-gas plants serving U.S. data centers.
WHAT:
TechRadar - SpaceX plans a $24 billion AI complex powered by 35 natural-gas turbines, with stated generating capacity of 748 megawatts.
The Texas Tribune - The $24 billion project’s initial phases may include future expansions; Starbase commissioners are scheduled to hold a public hearing in December to consider tax breaks.
The Texas Tribune - Brownsville received $220 million from SpaceX for city water and wastewater projects in connection with de-annexing the 444.45-acre property.
The Texas Tribune - The South Texas Environmental Justice Network argued the facilities would pollute air, consume water, and raise residents’ energy bills; other residents viewed the project as a source of jobs.
Bloomberg Markets — “Data Center Gas Plants to Lift US Power Emissions 10%, BNEF Says” - BloombergNEF said announced on-site natural-gas plants for U.S. data centers would add about 10% to emissions from the U.S. power sector’s 2025 output.
WHERE:
The Texas Tribune - The project is planned just outside Brownsville, on 444.45 acres near the Port of Brownsville, later annexed into Starbase.
TechRadar - The planned project is in Texas.
WHEN:
The Texas Tribune - Starbase commissioners are scheduled to consider project tax breaks at a public hearing in December.
The Texas Tribune - Brownsville’s 90-day data-center moratorium went into effect last week.
The Texas Tribune - Abbott directed grid operators in August to pause data-center connection requests pending audits.
WHY:
The Texas Tribune - SpaceX’s gas-fired plant could supply the data center’s electricity without connecting it to the state grid.
The Texas Tribune - The environmental network cited air pollution, water use, and higher energy bills as reasons to oppose the project.
Bloomberg Markets — “Officials Work to Speed Grid Connection Amid Data Center Buildout” - Developers are increasingly using behind-the-meter generation to avoid years-long grid-connection waits and start operating sooner.
HOW:
The Texas Tribune - Brownsville de-annexed the property at SpaceX’s request; the company offered $220 million for city water and wastewater projects, and Starbase later annexed the land.
The Texas Tribune - Brownsville said the de-annexation decision reflected the property’s location, municipal-service considerations, and potential long-term benefits; it said the funding would support water infrastructure.
The Texas Tribune - Hinojosa said she would ban data-center approvals until state legislators pass laws “to protect Texans.”
The Texas Tribune - Abbott directed grid operators to pause connection requests until data centers could be audited; the Texas Commission on Environmental Quality was also ordered to stop issuing data-center permits.
SpaceX plans a gas-powered AI complex near Brownsville, using turbines to bypass Texas’s crowded grid. Environmental advocates warn of pollution, water use, and higher bills; supporters cite jobs. Starbase commissioners will consider tax breaks at a December hearing.