The Meta logo is seen at the Vivatech show in Paris, France, June 14, 2023. (AP Photo/Thibault Camus)


December 05, 2024

NEW ORLEANS (AP) — Meta, the parent company of Facebook, has announced plans to build its largest artificial intelligence data center in northeast Louisiana. The $10 billion facility is expected to bring jobs and infrastructure improvements to a region that has long struggled economically. While state officials are optimistic about the project’s potential, some environmental groups have voiced concerns about its reliance on fossil fuels.

Governor Jeff Landry described the project as transformative for Louisiana’s growing tech industry. However, environmental advocates worry that the natural gas plants planned to support the center could increase utility costs for residents and lock the state into more carbon-intensive energy sources. Jessica Hendricks of the Alliance for Affordable Energy cautioned that the financial burden of these plants could fall on Louisiana households once Meta’s contract with utility provider Entergy ends.

The data center, set to open by 2030, will span 4 million square feet and create 500 permanent jobs and 5,000 construction roles. To address community needs, Meta has pledged $200 million to improve local road and water infrastructure in Richland Parish, a rural area where nearly one in four residents lives in poverty. Public Service Commissioner Foster Campbell praised the project, calling it a lifeline for one of the nation’s most underserved areas.

Entergy, a major utility company, is accelerating plans to build three natural gas plants to power the facility, which would add nearly 2,300 megawatts of energy capacity. The Louisiana Public Service Commission is reviewing the proposal amid opposition from environmental groups. Meta, in response, has committed to supporting 1,500 megawatts of renewable energy in the future.

In Tennessee, Elon Musk's AI company, xAI, is expanding its supercomputer operations in Memphis. The project, backed by companies like Nvidia and Dell, has drawn criticism for its environmental impact. The Southern Environmental Law Center highlighted the pollution risks posed by the facility’s 18 gas turbines, which contribute to smog in nearby communities. Many of these neighborhoods are predominantly Black and have long faced environmental and health challenges from industrial sites.

Patrick Anderson, an attorney for the law center, called for greater transparency from xAI, urging local residents to be involved in decisions that could affect their health and quality of life.

As AI technology advances, both Louisiana and Tennessee are betting on data centers to boost their economies, but questions about environmental sustainability and community impact remain at the forefront.

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