XAI Secures Permits for 15 Natural Gas Generators in Memphis

xAI Receives Permits Amidst Legal Challenges

County regulators have approved permits allowing xAI to operate 15 natural gas turbines at its data center near Memphis, despite facing potential legal action.

Unauthorized Operation and Potential Lawsuit

According to the Southern Environmental Law Center (SELC), Elon Musk’s AI company has been running up to 35 generators without the necessary permits.

These generators collectively have a power generation capacity of up to 421 megawatts.

The SELC intends to file a lawsuit against xAI on behalf of the NAACP, alleging violations of the Clean Air Act.

Recent Funding

xAI recently secured $10 billion in funding, distributed equally between debt and equity financing.

Details of the Issued Permit

The permit, granted by the Shelby County Health Department, authorizes xAI to operate 15 Solar SMT-130 generators equipped with specific emissions controls.

These generators can produce up to 247 megawatts of electricity.

The SELC reports that xAI had already been operating eight of the same generator model without permits, although these units do incorporate pollution control technology.

Permitted Emissions

Even with the permit, xAI is permitted to release substantial amounts of pollution over a 12-month period.

This includes 87 tons of smog-forming NO_x, 94 tons of carbon monoxide, 85 tons of volatile organic compounds, 73 tons of particulate pollution, and almost 14 tons of hazardous air pollutants.

Specifically, the permit allows for the emission of 9.8 tons of formaldehyde, a recognized carcinogen.

The company is responsible for maintaining its own records of emissions.

Community Response and Independent Study

A Memphis community group has allocated $250,000 to fund an independent assessment of air quality.

Concerns Regarding City Air Quality Testing

The City of Memphis conducted its own air quality tests in June, but the SELC has voiced concerns about the methodology used.

The tests did not include measurements of ozone levels, as noted by the SELC.

Testing was performed on days when wind patterns directed xAI’s emissions away from the nearest monitoring locations.

Furthermore, testing equipment was positioned directly against or very close to buildings, potentially affecting the accuracy of the results.

Previous Regulatory Stance

Previously, the health department asserted it lacked the authority to permit “mobile” gas turbines operating for less than 364 days.

Under these conditions, the EPA was considered the appropriate regulatory body.

The SELC refuted this interpretation of the law, characterizing the justification for inaction as lacking legal support and analysis.