Judges Recommended Approval for El Paso Power Plant

The proposed 366-megawatt facility would provide electricity to a new Meta data center in El Paso.

Updated on Sept. 25, 2026 in Data Centers

Judges Recommended Approval for El Paso Power Plant

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Administrative Law Judges have recommended the approval of a 366-megawatt natural gas plant in northeast El Paso. The $550 million McCloud facility is intended to provide power specifically to a new Meta data center.

Why it matters

This project aims to meet the significant energy demands of large-scale data centers while ensuring local electricity costs are not shifted to the general public. The recommendation includes strict stipulations that Meta must cover the total project costs.

The proposed McCloud facility is designed with a 366-megawatt generation capacity. The development of this natural gas plant is estimated to cost $550 million.

The players

Wurldwide, LLC

This firm is the lead developer responsible for the proposed McCloud facility power project.

Meta

This technology giant is the primary entity behind the new data center project in northeast El Paso.

Texas Public Utility Commission

This state regulatory body is tasked with the final review and approval of utility project applications.

El Paso Electric

This utility provider is the applicant seeking regulatory approval for the new natural gas generation plant.

The details

The application filed by Wurldwide, LLC, underwent a review by Administrative Law Judges who issued their favorable recommendation. The project is explicitly designed to serve the power requirements of a Meta data center located in northeast El Paso.

Timeline

  1. September 24, 2026: Administrative Law Judges issued the recommendation for the gas plant application.

  2. Coming weeks: The Texas Public Utility Commission is expected to make a final decision.

The Tech Race

The surge in artificial intelligence and cloud computing has sparked an arms race for dedicated energy infrastructure. This project represents a shift toward private, customer-funded power facilities to satisfy the intensive demands of modern data centers.

Residents in the area are protected from direct financial burden as the proposal mandates that Meta pays all costs associated with the plant. This structure aims to prevent utility rate hikes for local consumers while supporting new industrial expansion.

The takeaway

The move highlights the growing necessity for collaborative funding between tech companies and utility providers to manage massive power needs. By isolating costs to the end-user, the arrangement seeks to decouple corporate digital expansion from public utility pricing.

Further reading

For more information on regional infrastructure growth, visit Data Centers.

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Should utility companies be permitted to charge customers for new data center infrastructure?