Texas Greenlights “GW Ranch” Power Project to Fuel Data Center Boom

Texas’ data center surge took a major step forward this week with the permitting of “GW Ranch,” a 7.65-gigawatt private electricity grid in West Texas designed to power new data centers while shielding residents from rising electricity costs.

The project comes amid a surge of over $10 trillion in proposed data center developments submitted to the Texas Department of Licensing and Registration in just the past two months. These projects add to nearly 400 existing centers already operating across the state, creating unprecedented electricity demand.

Experts note that local communities have faced rising electricity prices near data center hubs, prompting some technology and AI companies to explore alternative energy sources like nuclear or renewables. However, most developments are gas-powered, making Texas a “global epicenter of gas power buildout,” second only to China, according to Global Energy Monitor.

GW Ranch alone has been permitted to release up to 33 million tons of greenhouse gases annually—almost 5% of Canada’s yearly emissions—raising environmental concerns. Researchers warn that North and West Texas could become some of the world’s largest emission sources if these projects are fully built.

Despite this, Pacifico Energy, the company behind GW Ranch, emphasizes the project’s benefits, including reducing strain on the Texas grid and supporting responsible data center growth. Construction is slated to begin early this year, with first power expected by 2027. Full capacity could be reached by 2031, providing thousands of construction jobs and hundreds of ongoing operational roles.

The GW Ranch project highlights Texas’ unique challenge: balancing rapid technological growth with energy sustainability and community impact.

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