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U.S. Data Center Boom Drives Rush to On-Site Gas Power and Rising Emissions Risk

Developers favor on-site gas plants to sidestep strained grids.

Overview

  • More than 3,000 U.S. data centers are proposed or under construction, with many planning dedicated behind-the-meter gas plants that bypass public utilities.
  • A Wired review, cited by Gizmodo, says 11 gas-powered data centers hold permits for more than 129 million tons of CO2 a year.
  • Wired notes the totals reflect permitted limits rather than measured emissions, yet data centers often run near their caps as demand grows.
  • Developers point to grid bottlenecks and a recent executive order that encourages companies to fund their own infrastructure as reasons to build private gas generation.
  • The U.S. Energy Information Administration reports record natural gas use in 2025, and Global Energy Monitor says the U.S. now leads the world in new gas project development.