Elon Musk's xAI has been accused of using gas turbines at data center without a permit

Published , by Sam Chandler

Elon Musk’s xAI requires a lot of power to operate and it appears that the artificial intelligence startup has been using gas turbines to meet the demands. According to the environmental advocacy groups, these gas turbines are operating without a permit and are contributing to Memphis’ poor air quality.


Source: xAI

CNBC has reported on August 28, 2024 that the Southern Environmental Law Center has sent a letter to the Health Department in Shelby County, requesting regulators to investigate xAI for its use of unpermitted gas turbines in its data center.

The agency is accusing Musk’s xAI of adding to the pollution problem in Memphis, which already sits at an F-grade rating for its air quality. The letter notes that the artificial intelligence company has installed “at least 18 gas combustion turbines” with more potentially on the way.

The letter goes on to note that the gas turbines emit nitrogen oxide, which adds to Shelby County’s air grade. Amanda Garcia, a senior attorney with the Tennessee office of the Southern Environmental Law Center, told CNBC, “The overarching concern remains that there has been very little transparency and opportunity for public input for the xAI project.”


Source: xAI via Dgtl Infra

According to the agency, the turbines have the capacity to output 130 tons of nitrogen oxide annually. The power of these turbines is also enough to power roughly 50,000 homes. Instead, xAI is using this energy to power its AI models which are utilizing 100,000 of Nvidia’s H100 processors.

Unfortunately, it seems as though the Shelby County Health Department can’t do much about these turbines. The CNBC piece closes out by noting that the EPA regulates companies that use gas-burning turbines and can get involved once said turbines are stationary and have been in the same location for a year. Given that these turbines are mobile and have been there for less than a year, the Shelby County Health Department does not have “current permitting authority.”

Recently, Musk reportedly redirected a shipment of Nvidia AI chips from Tesla to xAI. This alleged move caused a delay in $500 million worth of AI chips to Tesla, CNBC reported. According to Musk, the chips would have “just sat in a warehouse.” Be sure to keep an eye on our xAI page for the latest on Musk’s new venture.