Elon Musk’s xAI Gets Permit to Build Gas Power Plant in Mississippi Despite Community Objections

TLDR

• Mississippi regulators approved xAI’s permit to build a power plant with 41 natural gas turbines in Southaven
• The NAACP and Southern Environmental Law Center plan to sue over alleged Clean Air Act violations
• Residents have reported ongoing noise and air pollution from xAI’s temporary turbines already in use
• xAI, now part of SpaceX, is also building a new data center called Macrohardrr in Southaven
• The combined SpaceX-xAI entity was valued at $1.25 trillion after their merger in February

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Elon Musk’s xAI has been given the green light to build a large natural gas power plant in Southaven, Mississippi, despite protests from residents and civil rights groups.

The Mississippi Department of Environmental Quality approved the permit for 41 natural gas turbines on Tuesday, March 10. The approval came through xAI’s subsidiary, MZX Tech LLC.

The plant is designed to power xAI’s nearby data centers. xAI already operates two data centers in Memphis, Tennessee — called Colossus 1 and Colossus 2 — just across the state line.

The NAACP and the Southern Environmental Law Center strongly opposed the decision. They said the permit violates federal law and puts families in the area at risk from air pollution.

Critics say xAI understated the amount of pollution its turbines will produce. Their concerns include smog-forming nitrogen oxides, formaldehyde, and airborne particulate matter.

Opponents also accused xAI of failing to hold community meetings and skipping required environmental reviews.

The NAACP tried to delay the vote. It argued the hearing was held on Election Day — the day of Mississippi’s 2026 primary — and took place nearly 200 miles from Southaven in Jackson. The MDEQ denied the request.

Residents Report Ongoing Noise and Pollution

Jason Haley, a Southaven resident who watched Tuesday’s vote, said he was disappointed. He is part of a local group called Safe & Sound that has been pushing officials to force xAI to reduce noise levels.

xAI has already been running more than a dozen temporary turbines at the site for months. The company claimed no federal permit was needed for these. Environmental compliance experts disagreed with that position.

A University of Tennessee study found that xAI’s earlier turbine use added to air pollution problems in the Greater Memphis area.

About 200 residents attended a public hearing in February, urging officials to deny xAI’s permits. Physicians, parents, and teachers all spoke out.

xAI’s Expansion Plans

xAI is now part of SpaceX following a merger announced in February. The combined company was valued at $1.25 trillion.

In Southaven, xAI also plans to build a new data center called Macrohardrr in a former GXO Logistics warehouse.

Tech executives, including those from xAI, signed non-binding pledges at a White House meeting last week to power their own facilities.

The NAACP, represented by the Southern Environmental Law Center, plans to sue xAI over its use of natural gas turbines without federal permits.

The MDEQ said the approved permit “met all legal and technical requirements for issuance.”

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