Tech companies are increasingly using natural gas turbines and engines to generate on-site electricity for data centers amid surging AI demand. This trend is leading to a boom in fossil fuel projects, particularly in the United States. Experts warn it could lock in higher emissions and hinder renewable energy adoption.
The artificial intelligence boom has spurred a rapid expansion of data centers, creating intense pressure on electricity supplies. Developers are turning to behind-the-meter power generation, often powered by natural gas, to meet the needs of these facilities. According to Cleanview, at least 46 data centers with a combined capacity of 56 gigawatts are employing this approach.
One notable deal involves Boom Supersonic, which signed a $1.25 billion agreement with developer Crusoe to supply 29 jet-engine gas turbines for OpenAI's data centers across the U.S. In Texas, Crusoe's Stargate campus in Abilene requires 1.2 gigawatts and uses aeroderivative turbines based on airplane models. Meta's data center in El Paso will draw power from more than 800 mobile mini-turbines, while a West Virginia facility has received gas engines from Caterpillar.
Global Energy Monitor reports that natural gas-fired power projects totaling over 1,000 gigawatts are in development worldwide, a 31 percent increase from the previous year. The U.S. accounts for about a quarter of this pipeline, with more than a third dedicated to data centers. In Texas, nearly 58 gigawatts of natural gas power are in planning or construction, with almost half serving data centers exclusively, without grid connections.
This shift raises climate concerns. Researchers at Cornell University estimate the data center build-out could add 44 million metric tons of carbon dioxide emissions by 2030, equivalent to the annual output of 10 million passenger cars. Cara Fogler of the Sierra Club described it as "a huge proposed build-out," noting that existing coal plants and new gas projects may "box out clean energy."
Alternatives like reciprocating engines, used by Titus Low Carbon Ventures, offer flexibility for fluctuating loads but are less efficient than combined-cycle turbines. Jenny Martos of Global Energy Monitor explained that such engines "produce more emissions than the others." In New Mexico, the proposed $165 billion Project Jupiter campus would rely on simple-cycle gas turbines, prompting opposition from the Center for Biological Diversity over its potential emissions.