DOJ backs xAI's unpermitted gas turbines citing national security for AI

The Department of Justice on Monday filed a memorandum supporting xAI (now a SpaceX division) in an ongoing lawsuit brought by the NAACP and Southern Environmental Law Center over the company's use of 57 unpermitted natural gas turbines at its Colossus and Colossus 2 data centers near Memphis. The DOJ argued that if the plaintiffs prevail, it would undermine “American national, economic, and energy security” by cutting power to AI models like Grok that support “mission-critical” military operations, including recent strikes in Iran. The memorandum elevates xAI's energy infrastructure from a local environmental dispute to a federal security priority.

xAI claims the turbines, mounted on trailers and originally intended as temporary backups, are exempt from Mississippi air pollution regulations for one year. However, the Southern Environmental Law Center counters that federal law considers trailer-mounted turbines stationary after prolonged use, making them subject to regulation. Since last year, the number of turbines has more than doubled, releasing increased levels of PM2.5, formaldehyde, and NOx—pollutants linked to asthma, cardiovascular disease, cancer, and Alzheimer's. The NAACP notes the Memphis area already suffers from poor air quality. xAI plans to buy another $2.8 billion in gas turbines over three years, with at least $2 billion for mobile units.