Oracle says Project Jupiter could turn to grid power if air permit falls through

Oracle told Doña Ana County commissioners Project Jupiter could seek power from a grid provider if its planned on-site system cannot secure an air permit, potentially requiring further county review.

Oracle says Project Jupiter could turn to grid power if air permit falls through
The Doña Ana County Government Center in Las Cruces. (Damien Willis / Organ Mountain News)

Company representatives told Doña Ana County commissioners the project remains committed to its off-grid plan but acknowledged an alternative power source may be necessary if permitting changes

Damien Willis, Organ Mountain News

LAS CRUCES - Oracle representatives told Doña Ana County commissioners Tuesday that Project Jupiter remains on track to generate its own power but acknowledged the company may need to pursue a grid-based alternative if its planned on-site power system cannot secure an air-quality permit.

The possibility emerged during a lengthy Project Jupiter update that also included new construction and employment figures, details about Bloom Energy’s fuel-cell system and additional commitments related to water conservation and renewable energy.

Grid power remains a fallback option

An Oracle representative said the company is continuing to work through the New Mexico Environment Department permitting process for the proposed on-site power system and expects the permit to be approved.

But if that does not happen, he said, the project would still need a source of electricity.

“If we end up in a situation where the air permit ... is not actually approved,” the representative said, Oracle would have to work with a grid provider, although the exact arrangement has not been determined.

Commission Chair Manuel Sanchez noted that Project Jupiter’s industrial revenue bond agreements were structured around the data center generating power on site rather than drawing electricity from the existing local grid. He said avoiding demand on El Paso Electric was also included in the project’s community benefits agreement.

Any departure from those commitments, Sanchez said, would have to be discussed with the commission and could require amendments to the agreements.

The Oracle representative emphasized that the company’s current plan has not changed and said any future connection to the grid should benefit existing customers rather than raise their rates.

“If for any reason we have to” use El Paso Electric, he said, “I actually have to come in and say I’m actually lowering the rates for the people here.”

The discussion does not mean Project Jupiter has decided to connect to the electric grid. Rather, company representatives described it as a contingency if the planned power system cannot move forward as currently designed.

Bloom presents new environmental claims

Project Jupiter has proposed using Bloom Energy fuel cells to provide power at the massive data center campus.

Bloom representatives told commissioners their site-specific modeling found the fuel-cell equipment would increase temperatures at the property boundary by less than 1 degree Celsius under a scenario assuming an outside temperature of about 101 degrees and wind blowing toward the boundary.

The company also said its fuel-cell design would produce substantially lower modeled emissions than the combustion-based power system originally contemplated for the project, including reductions of 92% in nitrogen oxides, 99% in sulfur oxides, 83% in particulate matter and 21% in carbon dioxide.

Those figures were presented by Bloom and have not been independently verified by Organ Mountain News.

Bloom representatives said emissions would be subject to independent source testing and reported to the New Mexico Environment Department and Doña Ana County.

The company also said waste generated by the equipment would be removed from New Mexico and that 99.5% of the equipment, by weight, could be recycled or reused at the end of its operating life.

Construction and local hiring continue

Oracle also provided updated employment figures Tuesday.

Company representatives said construction is now about 26% complete, an increase of 17 percentage points since the previous update.

They reported 3,686 workers currently assigned to Project Jupiter, including 988 New Mexico residents and 466 Doña Ana County residents.

Water conservation partnership announced

Oracle also announced a partnership with agricultural technology company Arable that it said would help farmers use sensors and real-time data to improve irrigation practices.

Company representatives estimated the effort could conserve about 20 times the amount of water required to operate Project Jupiter’s cooling and power systems.

Representatives also told commissioners that a previously announced $50 million state commitment associated with the project has now been fully funded and is expected to make its way to Doña Ana County.

The Project Jupiter update lasted well over an hour and followed extensive public comment from both supporters and opponents of the development.

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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