A New Data Center Funded by Google Will Rely on a Large Gas Power Facility

“The growth of the grid cannot keep pace with AI’s needs, so an inclusive ‘all-of-the-above’ approach is vital—with gas serving as an essential bridge,” stated Cully Cavness, cofounder and president of Crusoe, in a WIRED interview. “This represents not an endpoint but the groundwork we lay while investing in batteries, solar energy, wind, and small modular nuclear reactors. We aren’t waiting for a carbon-free grid—we’re actively constructing the route to one.”

Other technology firms are publicly endorsing new gas expansions. This week, Microsoft forged a partnership with oil powerhouse Chevron to provide up to 2.5 gigawatts of gas power for a data center situated in West Texas.

Thomas believes that behind-the-meter power could become the primary energy strategy for developers of data centers.

“It’s crucial to recognize how unprecedented this is,” he remarks. “No business was pursuing this until about a year ago, and now it has gained significant traction. The pace of change is far superior to simply waiting for the grid.”

Since the onset of the AI race, major tech companies that previously committed to aggressive climate initiatives have acknowledged a shift in their stance, as they increasingly construct energy-intensive data centers. Despite nearly a 50 percent surge in overall emissions over the past five years, Google claimed in its sustainability report last year a 12 percent reduction in data center emissions. The company has also publicly promoted its dedication to renewable energy. Besides the Armstrong campus, Google’s Texas investment encompasses a data center in Haskell County, which, according to a company press release, “will be developed alongside a new solar and battery storage facility.” Additionally, Google is expanding a range of significant behind-the-meter renewable energy projects, as detailed in Thomas’s recent report.

With an administration that supports data center expansions, dismisses greenhouse gas reporting regulations, and advocates for American natural gas, it’s probable that behind-the-meter gas power will progress despite significant emissions costs. In March, the White House gathered leaders from seven major tech firms, including Google, to endorse a nonbinding agreement aimed at safeguarding ratepayers, which included a commitment to “build, bring, or acquire the new generation resources and electricity necessary to meet their new energy requirements.” Experts informed WIRED that this agreement was largely symbolic, as neither data center developers nor the White House have substantial influence over policies that could lower electricity costs.

Nevertheless, some lawmakers are probing Big Tech regarding the environmental implications of their data center initiatives. Just days after the White House event, three Democratic senators sent letters to several AI firms and data center developers, including xAI, OpenAI, and Meta, conveying concerns about specific large-scale data center projects and their potential environmental impact. (While the lawmakers did not address Google, they did reach out to Crusoe regarding an unrelated project.) Senators Sheldon Whitehouse of Rhode Island, Chris Van Hollen of Maryland, and Martin Heinrich of New Mexico requested executives from these companies to respond to several inquiries concerning their planned data centers, particularly why they opted for natural gas over renewable sources.

“It is well established that failing to limit global temperature rise to a maximum of 1.5 degrees Celsius above preindustrial levels will lead to severe climate disruptions and significant economic consequences,” the senators articulated in their letter to tech leaders, emphasizing the necessity of drastically reducing greenhouse gas emissions to achieve this target. “I request that you clarify how your actions align with this objective, and if they do not, explain why you believe this is inconsequential.”