SpaceX won’t remove all of xAI’s unpermitted turbines for another year

SpaceX announced Thursday it will remove the unpermitted gas turbines powering its xAI data centers near Memphis, but not until July 2027, as it transitions to a permanent 1.2 gigawatt natural gas power plant. The company currently operates 69 gas turbines for the Colossus data centers, many without permits, and faces a lawsuit from the NAACP and Southern Environmental Law Center. SpaceX plans to buy $2.8 billion worth of gas turbines over the next three years, and the new plant will consist of 41 turbines ranging from 16.48 to 50 megawatts.

SpaceX said https://x.ai/memphis/updates on Thursday that it will remove the unpermitted turbines powering its xAI data centers near Memphis as it transitions to a permanent, 1.2 gigawatt natural gas power plant. The turbines won’t be completely removed until July 2027, though. SpaceX said that it’s currently operating 69 gas turbines to power the Colossus data centers, of which many have been operating for months. The NAACP and Southern Environmental Law Center have sued xAI https://techcrunch.com/2025/06/18/xai-is-facing-a-lawsuit-for-operating-over-400-mw-of-gas-turbines-without-permits/ over the use of unpermitted turbines. SpaceX acquired xAI https://techcrunch.com/2026/02/02/elon-musk-spacex-acquires-xai-data-centers-space-merger/ in February. In its IPO filing, SpaceX said it plans to buy $2.8 billion worth of gas turbines https://techcrunch.com/2026/05/20/musks-xai-is-being-sued-over-its-data-center-generators-now-its-buying-2-8b-more/ for its data centers over the next three years. SpaceX claims https://techcrunch.com/2026/05/20/musks-xai-is-being-sued-over-its-data-center-generators-now-its-buying-2-8b-more/ that it is allowed to operate the existing turbines without permits because they remain on the trailers they were shipped on. But federal regulations say that the turbines xAI has been using, regardless of what they sit on, require permits because of their size and how they’re being used. The turbines are currently located south of Memphis in Mississippi, just over the border with Tennessee. The region is among the most polluted in the U.S., and xAI has been operating gas turbines that have the potential to emit more than 2,000 tons of smog-forming NOx per year. Last month, the Department of Justice sided with SpaceX https://techcrunch.com/2026/06/16/doj-claims-xais-unpermitted-gas-turbines-are-a-matter-of-national-economic-and-energy-security/ in the NAACP’s lawsuit, saying the unpermitted turbines were a matter of “national, economic, and energy security.” The new power plant that SpaceX is building will consist of 41 gas turbines ranging in size from 16.48 megawatts to 50 megawatts, according to permit documents https://opcgis.deq.state.ms.us/ensearchonline/ai info.aspx?ai=12592 issued by the state of Mississippi. They appear to be different from those currently in use, though TechCrunch could not verify the specific models of the 69 existing turbines. Earlier this year, Elon Musk bought APR Energy, a company that specializes in temporary natural gas power. Based on an archive of the company’s site https://web.archive.org/web/20260715190348/https://www.aprenergy.com/our-technology/gas-turbines/ before it was taken down, the turbines in the company’s fleet also appear to be different from those cited in permits for the new, permanent power plant. Given that APR Energy’s turbines aren’t likely to be part of the new Colossus power plant, the new turbine fleet is likely intended for another, unannounced project.