Meta to fund 10 natural gas plants for massive Louisiana AI data center, tripling initial plans

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Meta is funding construction of 10 natural gas power plants to power its Hyperion AI data center in rural Louisiana, delivering over 7 gigawatts of electricity. The deal with Entergy also includes 240 miles of transmission lines and up to 2.5 gigawatts of renewable energy capacity. While Meta says it's covering full costs to protect ratepayers, critics worry about long-term environmental impact and who pays after the 15-year contract ends.

Meta Expands Fossil Fuel Infrastructure for AI Ambitions

Meta is funding the construction of seven new natural gas power plants to supply electricity to its largest AI data center, dramatically expanding the fossil fuel infrastructure supporting its artificial intelligence buildout

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. The new agreement with Entergy Corp. will add 5.2 gigawatts of generating capacity to the Hyperion AI campus in Richland Parish, Louisiana, bringing the total number of gas-fired facilities serving the site to 10

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. Combined, these plants will deliver more than 7 gigawatts of power—enough to supply over 5 million homes and representing a more than 30% increase to Louisiana's entire grid capacity.

Source: Fortune

Source: Fortune

The scale of this Entergy partnership extends well beyond power generation. Meta will also fund 240 miles of new transmission lines connecting South Louisiana to North Louisiana and Arkansas, battery energy storage systems, and nuclear power uprates at existing Entergy facilities

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. This commitment effectively underwrites a regional grid expansion to serve a single campus. The 10 power plants are estimated to cost nearly $11 billion, though Meta declined to disclose the exact investment figure

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Hyperion Campus: Powering AI Infrastructure at Unprecedented Scale

Meta initially announced plans for a $10 billion investment in December 2024 for a 2,250-acre data center campus in northeastern Louisiana. But the company quietly acquired an additional 1,400 acres, and in October 2025, Meta entered a joint venture with funds managed by Blue Owl Capital to finance, build, and operate the Hyperion campus with up to $27 billion in total development costs

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. CEO Mark Zuckerberg has said Hyperion would cover "a significant part of the footprint of Manhattan."

Source: Tom's Hardware

Source: Tom's Hardware

The 4 million-square-foot facility will play a vital role in large language model training, delivering over 2 gigawatts of compute capacity to train future open-source models

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. Of Hyperion's total power draw, approximately 5 gigawatts will go to compute workloads, with the remainder powering broader campus operations

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. The sheer magnitude illustrates how AI-driven electricity demand is reshaping energy infrastructure across the United States.

Addressing Ratepayer Concerns and Political Pressures

The deal is structured so that Meta "pays its full cost of service," according to Entergy, which projects the agreement will deliver more than $2 billion in customer savings over 20 years

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. Rachel Peterson, Meta's vice president of data centers, emphasized that the Entergy filing aligns with Ratepayer Protection Plans and ensures "Entergy's other consumers aren't paying our costs"

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This comes amid a growing political fight over who pays for powering AI infrastructure. Earlier this month, President Donald Trump demanded that technology companies pledge to cover their own electricity costs, ensuring residential bills don't rise as a result of the data center infrastructure boom

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. However, critics contend ratepayers could be stuck with the bill after 15 years—the length of the contractual terms—if Meta no longer requires so much power after that span .

Environmental Impact of Data Centers and Climate Commitments

The construction of gas-fired power plants raises questions about the environmental impact of data centers and Meta's climate goals. While natural gas produces fewer emissions than coal, it remains a fossil fuel

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. A Meta spokesperson said the company remains committed to its climate goals but didn't elaborate on how building 10 gas plants fits within them

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To offset concerns about expanding fossil fuel infrastructure, the agreement includes a Meta commitment to help fund up to 2.5 gigawatts of new renewable energy resources, and the two companies signed a memorandum of understanding to explore future development and use of nuclear power

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. Meta has also stated it will minimize water impact by restoring local watersheds as part of its goal to restore more water than it consumes globally by 2030

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Local communities have expressed concerns about the environmental footprint. A December poll found that 60 percent of Americans, including majorities across political affiliations, support increased regulation of AI technology

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. Recent legislative proposals, including a bill from Sen. Bernie Sanders and Rep. Alexandria Ocasio-Cortez, aim to impose a moratorium on data center construction until regulations are established. The Louisiana Public Utility Commission will still need to approve the seven new projects before construction can begin

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