Millions Spent on Climate Plans at Risk as Three Data Centres Threaten New Mexico and El Paso Goals

Millions of dollars spent developing climate action plans for New Mexico and El Paso could be undermined by three major data centre projects near the Texas-New Mexico border. Proposed power plants for two of the facilities could emit a combined total of about 10 million US tons of greenhouse gases annually, according to regulatory filings and estimates cited by El Paso Matters.

Neither area's climate plan accounted for the potential impact of the proposed developments, which are advancing amid growing demand for artificial intelligence (AI). New Mexico published its climate plan in December 2025, setting emissions-reduction goals for 2050, while El Paso adopted its own climate strategy several months later.

The projects have raised concerns about whether the region can meet its climate goals. 'They're going to undo a lot of the very expensive and very meaningful work a lot of people are doing,' New Mexico state climatologist Dave DuBois told El Paso Matters.

Three Data Centres Could Add Millions of US Tons of Emissions

The projects include Oracle's Project Jupiter in Doña Ana County, Meta Platforms' data centre in El Paso, and a proposed data centre complex at Fort Bliss Army post. Project Jupiter's proposed fuel-cell power system could produce up to 8.8 million US tons of greenhouse gas emissions annually under the assumptions used in the draft air-permit analysis, according to El Paso Matters. The publication also estimated that the power plant associated with Meta's El Paso data centre could emit 1.3 million US tons annually, based on El Paso Electric regulatory filings and US Environmental Protection Agency emissions factors.

For comparison, El Paso County and neighbouring Hudspeth County emitted 8.4 million US tons of greenhouse gases in 2019. The potential emissions from the Oracle and Meta facilities alone could exceed that total. 'This does add to our greenhouse gas emissions in a massive way,' said Gunnar Schade, an associate professor of atmospheric sciences at Texas A&M University.

Pollution Crosses State Borders

The projects expose gaps in climate oversight. New Mexico has legally established greenhouse gas reduction targets, while Texas has no equivalent statewide targets. Regulators have largely considered the facilities separately, despite their proximity and shared environmental impacts.

New Mexico State Representative Sarah Silva, whose district includes Chaparral, near Meta's data centre site in El Paso, Texas, said residents across the state border have limited influence over developments regulated by another state. 'This is why we need federal regulation,' Silva said, arguing that a coordinated approach is needed.

The facilities are also expected to release particulate matter and nitrogen oxides, although regulatory filings indicate relatively low emissions of these pollutants from the Meta and Project Jupiter projects. Shaolei Ren, a professor of electrical and computer engineering at the University of California, Riverside, warned that even small increases in air pollution can affect nearby and downwind communities. 'The health impacts can be significant for local communities,' Ren said.

Huge Energy Needs Raise Questions

Bloom Energy says Project Jupiter's proposed fuel-cell power plant could generate up to 2.45 gigawatts of electricity. That proposed capacity exceeds the maximum electricity demand El Paso Electric has historically served at one time across its 465,000 residential and commercial customers, according to the utility's corporate reports.

The projects have received support partly because of their anticipated economic benefits. Oracle says Project Jupiter will employ 750 full-time workers once operational. Nearly 3,700 people had worked at the site during construction as of early September, according to figures Oracle provided to county officials. However, critics question whether the jobs and investment justify the environmental costs.

Officials Face Growing Pressure

Oracle and Meta say they plan to mitigate their data centres' climate impacts by developing clean-energy projects elsewhere to help offset emissions from their power plants. Oracle expects Project Jupiter's actual emissions to fall below permitted levels and has committed to matching the facility's energy use with 100% carbon-free energy by 2031.

New Mexico Governor Michelle Lujan Grisham, who previously praised Project Jupiter, has since said she takes residents' concerns seriously and expects data centres to meet environmental standards and use water responsibly. Meanwhile, Texas Governor Greg Abbott has called for data centres to cover their own infrastructure costs, protect residents from higher electricity bills, and face tighter scrutiny over water use.

As construction advances, the projects are testing whether existing regulations can protect climate commitments while allowing the region to benefit from the AI boom.