New Mexico lawmakers plan data center moratorium after Project Jupiter concerns

New Mexico lawmakers plan to introduce a statewide data center moratorium after Project Jupiter drew scrutiny over water, energy, emissions and transparency.

New Mexico lawmakers plan data center moratorium after Project Jupiter concerns
The New Mexico state Capitol is pictured in Santa Fe. State lawmakers say they plan to introduce legislation in 2027 that would place a statewide moratorium on new large-scale data center development. (Jim Bowen / Flickr)

The proposal would pause new large-scale data center projects while the state develops rules for water use, energy demand, emissions, ratepayer impacts and community benefits.

Damien Willis, Organ Mountain News

LAS CRUCES - Four New Mexico lawmakers say they plan to introduce legislation next year that would place a statewide moratorium on new large-scale data center development while the state develops rules for evaluating the industry’s impacts.

The proposal, announced Thursday by state Reps. Micaela Lara Cadena of Mesilla, Angelica Rubio of Las Cruces and Eleanor Chávez of Albuquerque and state Sen. Carrie Hamblen of Las Cruces, would be introduced during the 2027 legislative session.

The lawmakers said the moratorium would prohibit new large-scale data center projects in New Mexico while the state develops a framework for evaluating water use, energy demand, emissions, ratepayer impacts and community benefits tied to the industry. They also said they intend to pair the proposal with legislation to close what they called a microgrid loophole and protect New Mexicans’ data security.

“New Mexico cannot keep saying yes before we understand what we are saying yes to,” Rubio said. “We are watching this industry move faster than our laws, our water systems, and our communities can keep up with. A moratorium gives us the time to get this right, instead of finding out the consequences after the concrete is already poured.”

The announcement comes amid continued scrutiny of Project Jupiter, an AI hyperscale data center under construction in Santa Teresa. Doña Ana County commissioners approved a $165 billion industrial revenue bond agreement for the project in September.

Since then, the project has drawn concerns over water use, energy demand, emissions, public process and transparency.

Data center Project Jupiter’s greenhouse gas emissions could rival NM’s largest cities
Developers behind Project Jupiter, a massive data-center campus planned near Doña Ana County, say the site could emit more than 14 million tons of greenhouse gases annually — a level that would rival the combined emissions of the state’s two biggest cities.

“Project Jupiter moved so quickly that the same county officials who approved the tax break worth billions and took ownership of this project still can’t provide details or information for constituents seeking accountability on water use and emissions,” Lara Cadena said. “That’s exactly what happens when speed replaces scrutiny, and when deals are made with dishonesty and deception.”

Lara Cadena said a statewide moratorium is necessary to ensure industries meet New Mexico’s clean energy standards and operate within the state’s limited water resources.

The announcement follows reporting by the Albuquerque Journal that Doña Ana County officials said Project Jupiter developers had not submitted job-hiring reports due in January and April under the project’s industrial revenue bond agreement.

Project Jupiter developer approved for $3M in state job-training funds
STACK Infrastructure, developer of Project Jupiter, has been approved for up to $3.06 million in state job-training funds as county officials seek overdue job reports.

On Wednesday, Organ Mountain News reported that STACK Infrastructure, the developer behind Project Jupiter, had been approved for up to $3.06 million in state job-training funds for 95 trainees in Santa Teresa through the New Mexico Job Training Incentive Program.

Chávez said lawmakers need to step in as communities in Doña Ana and Socorro counties face questions about data centers, utility ownership and private equity.

“It is imperative that the New Mexico legislature step in, require a pause, and establish guidelines and guardrails for all industries that put our communities’ futures, and our land, air, and water in danger,” Chávez said.

The lawmakers said similar efforts have advanced in other states, including Maine, where a measure passed but was vetoed by the state’s Democratic governor after a dispute over a single project exemption. The New Mexico sponsors said they have been speaking with Maine lawmakers while developing a New Mexico-specific proposal.

“This is not about saying no to economic development forever,” Rubio said. “It’s about saying not like this, and not without us.”

The lawmakers said they plan to work with community members, advocates and residents affected by data center development as they shape the policy ahead of the 2027 legislative session.

Damien Willis is founder and editor of Organ Mountain News. If you have a personal story to share or a lead we should follow up on, reach out at OrganMountainNews@gmail.com or connect with him on X at @damienwillis.

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