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10 Aug 2026

Amazon Plans Massive Gas-Fired Power Plant for AI Data Center in Texas

10 Aug 2026   

Amazon is planning to build a major AI data center campus in Pecos County, Texas, powered by a dedicated natural gas plant with a planned capacity of 7.65 gigawatts, according to research by industry media outlets Distilled and Cleanview.

The project, known as “GW Ranch,” would include 35 gas turbines and could become the largest natural gas-fired power plant ever built in the United States. Amazon has acquired land and obtained permits for the site, while satellite images reportedly show clearing work already under way. The company has also submitted building applications for the first three data center buildings.

The facility is expected to operate initially as an isolated power system, separate from the Texas electricity grid, in order to avoid grid connection bottlenecks. Amazon said generating power on-site would prevent additional pressure on electricity prices for Texas households. The company also said the campus would be gradually connected to the public grid once sufficient capacity becomes available.

The scale of the project has raised environmental concerns. A permit issued by Texas authorities allows the power plant to emit up to 33 million tons of carbon dioxide per year. If emissions reached that level, the facility would become the largest single source of pollution in the United States, surpassing even the country’s highest-emitting coal-fired power plant.

The project also appears to conflict with Amazon’s own climate goals. Under its “Climate Pledge,” the company has committed to achieving net-zero carbon emissions by 2040. However, Amazon’s emissions have been rising again in recent years.

Amazon said the project would use only saline groundwater, which is unsuitable for agriculture or drinking, for cooling purposes. The company also said it has enabled around 10 gigawatts of carbon-free energy through 40 projects for its existing data centers in Texas.

The plan comes amid growing public resistance in the United States to the rapid expansion of AI data centers. Local residents have raised concerns about noise, air pollution, land use, water consumption in drought-prone areas, pressure on power grids and rising energy costs. In several states and municipalities, protests have already led to construction halts and moratoriums.

Amazon’s project reflects a broader trend among major technology companies seeking independent power supplies for AI infrastructure. Microsoft, Google and Meta are also increasingly turning to grid-independent natural gas projects. Since the beginning of 2025, nearly 60 such “behind-the-meter” projects with a combined capacity of 90 gigawatts have been announced in the United States. Microsoft, for example, is working with Chevron on a 2-gigawatt gas power plant in Pecos County.

The GW Ranch campus, developed by Pacifico Energy, is expected to later include solar power and battery storage. Amazon is also reportedly negotiating another project in Pennsylvania involving a 4.5-gigawatt gas power plant.

At the same time, major U.S. cloud providers are looking to nuclear power as a long-term energy source for AI data centers. Microsoft has reached an agreement with Constellation Energy to restart the decommissioned Three Mile Island Unit 1 reactor in Pennsylvania and purchase its electricity from 2028. Amazon has bought a stake in a nuclear power plant from Talen Energy, while Google is investing in future small modular reactor contracts.

The U.S. government under President Donald Trump is supporting nuclear energy expansion through financial and regulatory measures as part of efforts to maintain leadership in artificial intelligence. However, nuclear projects continue to face bureaucratic obstacles, grid-related concerns and unresolved nuclear waste issues. As a result, natural gas-fired power plants are expected to continue filling near-term electricity gaps for AI data centers.

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