xAI: 59 Gas Turbines Without Permits for Colossus 2. A Choice that Fuels Grok, but Also Controversy
The Colossus 2 data center of xAI is back at the center of the environmental debate in the United States. An in-depth investigation published by Reuters claims that the infrastructure intended for training and running artificial intelligence models, including Grok, would be powered by 59 mobile natural gas turbines without the necessary permits required by the Clean Air Act.
Reuters' reconstruction is based on documents obtained through freedom of information requests and email exchanges between Trinity Consultants, the company representing xAI and its subsidiary MZX Tech, and the Mississippi Department of Environmental Quality. These documents indicate that at least 57 of the 59 turbines are located in Southaven, Mississippi, just minutes over the border from Memphis, Tennessee, where the Colossus 2 campus is situated. The remaining two units would be installed at an unidentified site.
The number of turbines appears to be approximately double the 27 units previously publicly acknowledged by xAI. The company has stated that these generators are exempt from permitting requirements as they are classified as mobile units and intended to remain at the same site for less than a year. The Mississippi environmental regulator has also stated that temporary turbines do not require specific permits, while the EPA clarified in recent months that temporary units exceeding certain emission thresholds must still be permitted, although possible regulatory changes for portable systems are being considered.
Estimates developed by Reuters based on the technical specifications of 30 of the turbines indicate potential emissions of around 2,500 tons per year of nitrogen oxides (NOx), 4,000 tons of carbon monoxide, and about 22 tons of formaldehyde, assuming continuous operation at 80% of capacity. These values are calculated based on manufacturer-declared characteristics and not from direct measurements on the facilities. Even considering only 30 turbines, theoretical emissions would far exceed the 100 tons per year NOx threshold that typically requires federal permit issuance.
The investigation also highlights that areas within about eight kilometers of the facility are predominantly inhabited by African American communities. In the affected portion of DeSoto County, Mississippi, about 46% of residents belong to this community, while in nearby Shelby County, Tennessee, the share rises to 94%, significantly higher than the respective county averages. Reuters also points out that in nearly all censuses affected, the estimated rates of asthma and chronic obstructive pulmonary disease are above the local average.
The issue has already led to legal action initiated by the NAACP alongside the Southern Environmental Law Center and Earthjustice, accusing xAI of installing and using the turbines without complying with the Clean Air Act. Patrick Anderson, attorney for the SELC, described the scale of the installation as "surprising." Meanwhile, the U.S. Department of Justice has intervened in support of the company, arguing that a potential disruption in power could have implications for national, economic, and energy security, given that Grok is also employed in governmental and military contexts.
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The need to rely on autonomous electric production arises from the high energy demands of data centers dedicated to artificial intelligence. Connecting infrastructure of this scale to the electrical grid can take years, especially when significant enhancements are necessary. Environmental permitting procedures can also take a long time, which is why xAI decided to use mobile turbines directly on-site.
In this context, Elon Musk's acquisition of APR Energy is also relevant. The operation has not been publicly announced but emerged through a communication from the Federal Trade Commission, which approved the transaction without further antitrust review. Based on the available information, the implicit value of the deal exceeds one billion dollars.
APR Energy has a fleet of mobile natural gas and diesel turbines with a total capacity exceeding 1 GW. These are systems designed to be rapidly transported, installed within a few days, and brought to full capacity in less than ten minutes. Therefore, the acquisition could enable xAI to have the necessary technology in-house to power future data centers dedicated to artificial intelligence, further reducing dependence on the public grid.