Regulators in Mississippi have granted Elon Musk’s xAI the authority to run 41 methane gas turbines to fuel its massive supercomputing clusters. The MDEQ’s permit covers the Colossus 2 site, which houses over 500,000 GPUs used to train the company’s Grok-5 models. This approval solidifies the facility as one of the most significant—and controversial—fossil fuel installations in the state.
The 41 turbines act as a “makeshift” grid for xAI, providing the massive, stable current required for high-density AI training. Unlike competitors who rent cloud space, Musk’s strategy involves total ownership of infrastructure to maximize speed and control. This vertical integration allows xAI to iterate on its AI models faster than traditional tech firms that rely on public utility timelines.
The NAACP and Earthjustice have slammed the state for “rubber-stamping” the permit just three weeks after the public comment period closed. Residents have reported “jet-engine noise” and persistent smog since the company began using unpermitted temporary turbines last year. Opponents claim the MDEQ ignored evidence that the facility would become the area’s largest source of smog-forming nitrogen oxides.
Physicians and local parents testified at recent hearings about the risks of respiratory illness, heart attacks, and asthma exacerbation. The area already struggles with industrial pollution, and the addition of a 1.2-gigawatt power plant has many families reconsidering their future in Southaven. The NAACP has labeled the situation a “civil rights issue,” arguing that minority communities are bearing the brunt of the pollution.
Despite the controversy, xAI is moving forward with the $20 billion “Macrohardrr” datacenter, which is slated to be operational in early 2026. Governor Tate Reeves has lauded the project as a historic economic transformation that places Mississippi at the forefront of the tech revolution. The ongoing legal challenges will determine if the “Digital Delta” can coexist with the health and safety of its residents.
