Business

Musk's xAI Sued by NAACP for Illegally Polluting Gas Turbines
By Reuters | 14 Apr, 2026

Musk's AI firms operated 27 permit-less gas turbines in Mississippi to power its Colossus 2 data centers, harming the area's air quality.

The largest U.S. civil rights group on Tuesday sued xAI and a subsidiary, claiming they illegally operated more than two dozen gas turbines in Mississippi to power its Colossus 2 data center, posing a health risk to local residents.

The NAACP, represented by Earthjustice and the Southern Environmental Law Center, sued xAI and subsidiary MZX Tech, charging they violated the federal Clean Air Act by running 27 gas-fired turbines before getting necessary air permits for its massive data center that powers xAI's Grok chatbot.

Elon Musk's artificial intelligence startup xAI has invested more than $20 billion to build the data center in Southaven with the full backing of Mississippi Governor Tate Reeves, but the facility, as well as Colossus 1 just over the border in Memphis, Tennessee, has met heavy opposition from local communities due to their effect on local air and environmental quality.

"By looking to evade clean air laws to operate dirty turbines that emit pollution and known carcinogens, these companies are following a shameful, familiar pattern: asking Black and frontline communities to bear the toxic brunt of ‘innovation,’” said Abre’ Conner, director of the Center for Environmental and Climate Justice at the NAACP.

The NAACP announced its intention to sue xAI and MZX in February because the Clean Air Act requires 60 days of notice ahead of filing a lawsuit.

Mississippi regulators held one public hearing that month about permits for those turbines after just a few days of public notice for the hearing, and subsequently approved the permits.

xAI was not immediately available for comment.

Earthjustice said that xAI’s Southaven power plant has the potential to emit more than 1,700 tons of smog-causing nitrogen oxides (NOx) each year, a major source of smog in the greater Memphis area. They are also estimated to emit 180 tons of fine particulate matter, 500 tons of carbon monoxide, and 19 tons of cancer-causing formaldehyde.

(Reporting by Valerie Volcovici; editing by David Gaffen)