NEWS
New Mexico leaders react to paused permits for Project Jupiter
Court ruling buys time for leaders to consider data center regulations, but not everyone agrees on next steps
As news broke that the New Mexico Supreme Court unanimously decided to pause the permitting process for Project Jupiter, federal, state and local leaders were quick to weigh in on the massive data center campus under construction in Santa Teresa.
鈥淚 think that New Mexicans have been loud and clear that they do not want data centers in their backyard,鈥 said Rep. Melanie Stansbury, D-N.M., during a press briefing Monday. 鈥淎nd they certainly don鈥檛 want large new industrial uses that are going to threaten the water supply, the air quality and the well-being of our communities.鈥
Sunday night, the state鈥檚 highest court issued temporary stays that paused air and water permits in response to petitions by clean energy and conservation groups. The petitions alleged that permit proceedings lacked due process and that the developer, Oracle Corp., had not been transparent about environmental effects and power usage.
Joining with Stansbury, Rep. Gabe Vasquez, D-N.M., also spoke out against Project Jupiter.
Vasquez, a vocal opponent of a planned and later canceled data center outside Socorro, said in a Tuesday statement that he was 鈥渁ppalled鈥 by the lack of transparency from developers.
鈥淣ew Mexico should absolutely compete for the jobs and technology of the future, but we are not going to sell out our water, our clean air or our way of life to do it,鈥 Vasquez said. 鈥淚f you want to do business here, you need to be transparent, listen to residents and most importantly, prove to New Mexicans that projects will serve, not steal from, our communities.鈥
Vasquez said he would support several congressional bills to regulate data centers; one to protect consumers from electricity price hikes caused by data centers and another to require full transparency about energy and water usage.
Despite permitting delays, construction at the site is well underway. Last September, developers broke ground on the 1,400-acre data center campus and have spent approximately $144.5 million on preliminary work for an on-site natural gas microgrid.
The campus, which will train artificial intelligence models like ChatGPT, was initially lauded by some New Mexican leaders for bringing an emerging industry to the state鈥檚 rural south.
However, since construction began, estimates about water and energy usage have continuously grown. Latest estimates project the data center to generate nearly twice as many greenhouse gases as both Albuquerque and Las Cruces combined, far exceeding original estimates shared with the public. Since April, with the project approximately 10% completed, developers have allegedly pumped more than 100 million gallons of water from a ground well.
These contradicting statements and estimates have flipped some supporters into firm opponents.
Rep. Sarah Silva, a Las Cruces Democrat, initially supported the project and saw it as an opportunity to economically uplift southern New Mexico. However, when developers wavered on promises about energy consumption and full-time positions, Silva quickly grew skeptical.
鈥淲e can鈥檛 negotiate with corporations that aren鈥檛 honest with us,鈥 Silva said Tuesday.
Other state leaders have proposed bringing a data center moratorium bill to the Legislature in January. Among them is Democratic State Sen. Carrie Hamblen of Las Cruces.
Hamblen responded Monday with a statement welcoming the court鈥檚 oversight and saying, 鈥淪outhern New Mexico deserves to be heard by our state government.鈥
Earlier this month, Hamblen was one of four Democratic senators from Las Cruces who held a public listening session focused on Project Jupiter. During that meeting, Hamblen announced that she planned to sponsor the bill in the upcoming session.
鈥淲e deserve due process to ensure hyperscale data centers like Project Jupiter do not irrevocably damage the land, air, and water we rely on. This due process should not be rushed,鈥 Hamblen鈥檚 statement continued.
For Silva, a moratorium only serves to 鈥渒ick the can further down the road.鈥 With several months before the legislative session, Silva said state lawmakers have the time to create more comprehensive regulations and guardrails. As an example, Silva mentioned that she was considering a bill to tax hyperscale data centers like Project Jupiter.
Breaking from other Democrats, outgoing Gov. Michelle Lujan Grisham has remained a firm supporter of Project Jupiter despite recent developments.
鈥淭he governor respects the Court鈥檚 ruling and will comply fully with its orders as the case proceeds,鈥 a spokesperson from the Governor鈥檚 Office said in a statement Tuesday. 鈥淭he administration remains committed to a permitting process that is lawful, thorough and fair to all parties and we will continue to evaluate the project through proper regulatory channels within whatever new timeline the Court sets.鈥
Meanwhile, in Do帽a Ana, county officials weighed in on the project unfolding in their backyard. Do帽a Ana County Commissioner Susana Chaparro reflected on the Supreme Court鈥檚 actions during the commissioners鈥 Tuesday session.
Chaparro, a Democrat serving her second term on the board, was the lone vote against industrial revenue bonds and tax incentives supporting Project Jupiter last September. Chaparro鈥檚 objections centered on the process, which she said had been rushed and left her feeling pressured to vote despite missing information and a lack of meaningful public participation.
She asked her colleagues three times to support a motion delaying a vote to allow more time to consider Project Jupiter and was rebuffed.
The Supreme Court鈥檚 intervention 鈥渟parked hope,鈥 Chaparro said: 鈥淎nd hopefully it will unite this community as a team, because that鈥檚 what we are. 鈥 It is an obligation of this commission to listen to you regarding what you want and what you don鈥檛 want in this community.鈥
Gillian Barkhurst is a general assignment reporter for the Journal. She can be reached at gbarkhurst@abqjournal.com. Algernon 顿鈥橝尘尘补蝉蝉补 is the Journal鈥檚 southern New Mexico correspondent. He can be reached at adammassa@abqjournal.com.
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