AI Centers and the Environment
Addressing power, progress, and the rising cost of intelligence
7:50 a.m. Jan. 6, 2026
Courtesy xAI
DUANE CROSS
MCO Publisher•Editor
The Moore County Planning and Zoning Commission will discuss the impact of artificial intelligence infrastructure and land-use policy at its meeting at 5:30 p.m. Tuesday, Jan. 6., in the basement of the County Building. This is an unusual agenda item focused on how AI could affect the local area.
As more data centers and AI-related projects are proposed, questions are being raised about zoning rules, energy use, and effects on the community. Both county officials and residents are closely monitoring whether current rules can address the challenges posed by new AI facilities.
Given residents’ reactions to the anaerobic digester, solar farm, and proposed apartment complex, it’s safe to say the board will seek to enact ordinances to prevent AI from establishing a presence in Moore County.
This meeting comes as national debates continue over the environmental and social impacts of AI supercomputing projects such as xAI’s Colossus in Memphis, where concerns about pollution and health have led to activism and increased regulation.
The discussion is expected to center on whether Moore County’s current zoning and planning framework adequately addresses high-energy uses associated with AI, including data centers, supercomputing facilities, and related power infrastructure.
Board members may consider how other communities have responded to similar developments, weighing potential economic benefits against concerns over environmental impact, utility capacity, and long-term compatibility with rural land uses.
While no specific AI project is slated for approval, the conversation is intended to be proactive as interest in AI-driven development grows across Tennessee and the broader region.
AI Boom Brings Jobs – and Air Pollution
In South Memphis, a large supercomputer complex has opened, with supporters believing it could help turn the city into a technology hub. However, people living nearby say the project has brought problems they know all too well: more air pollution and new worries about their health.
Elon Musk’s artificial intelligence company, xAI, built the large Colossus supercomputer near the Boxtown neighborhood to run its Grok AI system. The company calls it the world’s largest AI supercomputer. The facility is a major technology investment in Memphis and has become a key point in the growing debate about environmental justice.
A Supercomputer with Massive Power Needs
Colossus was built to train and run large AI models, which need a lot of computing power and constant electricity. To provide this energy, xAI installed gas turbines powered by methane at the site.
Environmental groups say the turbines first ran without the right permits and released pollutants like formaldehyde, nitrogen oxides, and other chemicals that cause smog. Methane is cleaner than coal, but it is still a fossil fuel and creates air pollution, especially when used as much as it is for an AI supercomputer.
For people living in Boxtown, a mostly Black, low-income community with a long history of industrial pollution, the turbines caused immediate concern.
Community advocates now point to high rates of asthma and elevated cancer risks in the area.
Environmental Justice at Center of Fight
Building Colossus near Boxtown has made the project a national issue about environmental justice. Residents say the facility is another example of placing polluting infrastructure in communities with little political influence.
These concerns prompted the NAACP and the Southern Environmental Law Center to issue a formal notice threatening legal action against xAI, alleging that the company violated the Clean Air Act. The groups say operating the turbines without the required permits puts public health at risk and violates federal air quality rules.
In response, xAI later obtained permits for 15 backup turbines, but opponents remain steadfast. Community members continue to request independent air monitoring and the removal of all gas-powered turbines.
Economic Promise vs. Community Cost
City leaders and business groups have mostly welcomed xAI. They say Colossus brings investment, jobs, and recognition, helping put Memphis on the map in the fast-growing AI industry.
Supporters say this is the kind of project that can redefine a city’s economic future, noting possible tax revenue and the chance to attract more technology companies.
However, residents and activists are not convinced. They say the number of jobs is unclear, health problems are happening now, and past experience shows that economic promises do not always lead to real benefits for nearby neighborhoods.
Expansion Raises Regional Concerns
The debate is not limited to Memphis. xAI is building more data centers in Mississippi, where people are starting to raise similar concerns. Environmental advocates warn that without stronger rules, the same problems could happen in other Mid-South communities.
As more AI infrastructure is built, experts say it is getting harder to ignore the industry’s impact on the environment. Data centers and supercomputers use large amounts of electricity and water, which can put a strain on local resources and power grids.
A Broader Question for the AI Era
The disagreement over Colossus shows a growing national debate about how to balance new technology with protecting the environment and community health.
AI is often seen as a clean, digital technology, but its physical infrastructure is different. It involves turbines, power lines, and large amounts of energy use. For communities like Boxtown, this feels less like progress and more like a repeat of past problems.
As legal challenges continue and xAI expands, what happens in South Memphis could set an early example for how and where the next generation of AI will be built.
For people living near Colossus, the question is not if artificial intelligence will shape the future, but whether they will be included in that future, and what the cost will be.
It’s a question – and cost – Moore County is looking to address and avoid.
Planning and Zoning agenda for Tuesday, Jan. 6
What an AI Center Needs
An AI center – such as a data center, supercomputing facility, or AI training hub – requires far more than servers and software. These facilities function as heavy infrastructure, comparable to advanced manufacturing or large industrial operations. Their core needs fall into several key categories.
Power Infrastructure
Electricity is the most critical requirement. AI training workloads can demand tens to hundreds of megawatts, often exceeding what rural or lightly developed areas can supply without major grid upgrades. Facilities typically rely on multiple grid connections, on-site substations, and backup generation. Diesel, natural gas, or methane turbines are commonly used to prevent downtime, though these systems raise permitting and air-quality concerns. Some operators incorporate renewable energy, but it rarely meets total demand without storage.
Land and Zoning
AI centers require large footprints – often dozens or hundreds of acres – for buildings, substations, cooling systems, and buffer zones. Many local zoning codes do not clearly define AI facilities, creating regulatory gaps. Setbacks and buffers are needed to reduce noise, heat, and visual impacts, and most projects are designed with phased expansion in mind.
Cooling and Water
High-performance GPUs generate extreme heat, requiring advanced cooling systems. Evaporative and liquid cooling can consume millions of gallons of water annually, making reliable water supply and wastewater management essential. Facilities must also manage waste heat in ways that do not harm the surrounding environments.
Environmental Permits
AI centers often require air permits for generators or turbines, water discharge permits for cooling systems, and stormwater and land-disturbance permits during construction. Environmental impact assessments are increasingly expected, particularly in communities already burdened by pollution.
Connectivity
Reliable operations depend on high-capacity, low-latency fiber optic networks with redundancy and multiple carriers. Strong physical and cybersecurity measures are also essential.
Workforce and Access
While capital-intensive, AI centers employ relatively few people, primarily specialized engineers, operators, and security staff. Sites must have heavy-load road access for equipment delivery, proximity to highways or rail, and clear access for emergency services.
Community and Governance
Projects require approvals from planning commissions, zoning boards, and utilities. Public engagement is increasingly important, especially amid environmental justice concerns. Tax incentives are common but often controversial, and long-term planning is needed to address noise, emissions, water use, and land-use compatibility.
Why It Matters
AI centers are often marketed as clean, quiet technology investments, but in practice, they operate like energy-intensive industrial facilities. Without clear definitions and regulations, communities can face unexpected strain on power grids, water systems, and air quality, as well as public opposition.
