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Amazon has confirmed it is financing a massive private gas-fired power plant in Texas to support its rapidly expanding data center operations, a move that could make the facility the largest single source of greenhouse gas emissions in the United States.
The project highlights a growing trend among tech giants to bypass traditional power grids and accelerate the rollout of energy-intensive AI infrastructure. The plant, known as GW Ranch and developed by Pacifico Energy, is linked to new Amazon data center construction permits in Pecos County, according to market intelligence firm Cleanview.
Regulatory filings indicate the facility will feature 35 turbines with a total capacity of 7.65 gigawatts—surpassing any currently operating gas plant in the country. It is permitted to emit over 30 million metric tonnes of greenhouse gases annually, though actual emissions may fall below that threshold.
Amazon said generating power on-site would prevent additional costs from being passed on to consumers already facing rising electricity bills due to AI-driven demand. “Amazon believes in paying the full costs of powering our operations,” a company spokesperson said, adding that the facility is designed to eventually connect to the grid.
The company also noted plans to explore solar energy, battery storage, and the use of non-potable groundwater to reduce environmental strain. Amazon reiterated its commitment to achieving net-zero carbon emissions by 2040 under its Climate Pledge.
However, the project has raised concerns among energy experts and environmental advocates. While natural gas burns cleaner than coal, it remains a major source of carbon emissions and methane leaks, contributing significantly to climate change. Analysts warn that the rapid expansion of “behind-the-meter” power generation—where companies produce their own electricity—could sharply increase emissions.
Cleanview estimates that nearly 97 gigawatts of such projects are planned across the tech sector, potentially generating over 200 million tonnes of carbon dioxide annually—comparable to the emissions of more than 45 million cars.
“There are more efficient ways to use gas, but most of these projects aren’t adopting them,” said John Rogers of the Union of Concerned Scientists, highlighting concerns over both climate and local air pollution impacts.
Beyond carbon emissions, gas plants release pollutants such as nitrogen oxides, fine particulates, and hazardous chemicals, which are linked to respiratory and cardiovascular diseases—raising further questions about the environmental cost of powering the AI boom.