Meta Clears First Steps for $10 Billion Louisiana AI Data Center
Meta, Facebook's parent company, has made significant progress towards establishing a massive AI-powered data center in Holly Ridge, Louisiana. The Louisiana Public Service Commission (PSC) recently approved a crucial request from utility company Entergy to enlist consultants and attorneys to support their application for the construction of three new power plants that will power the data center. The estimated investment for this project exceeds $10 billion, and the data center will be situated at the state-owned 1,440-acre Franklin Farms Megasite, located just east of Monroe. Entergy's proposal includes an additional investment of $3.2 billion to build three natural gas power plants, two near the data center in Richland Parish and one north of Baton Rouge, ensuring a reliable electricity supply.
Economic Impact
The AI data center project is expected to have a significant economic impact on Northeast Louisiana:
- Job Creation: Meta's establishment is projected to create 500 permanent jobs with salaries above $80,000 on average.
- Local Economy Boost: Commissioner Foster Campbell, covering northern Louisiana's PSC District 5, described the project as a "godsend" that will bring long-term economic growth and opportunities to the region.
- Potential Expansion: Campbell expressed optimism about the project's future growth potential, indicating a positive outlook for further development.
Regulatory Progress
The Louisiana PSC, responsible for overseeing monopoly utilities, has unanimously approved Entergy's request to engage consultants for the project. This approval enables a streamlined regulatory review process, with the goal of finalizing the power plants' approval by October 2025. District 4 Commissioner Mike Francis also expressed strong support for the project, emphasizing its importance for regional growth.
Significance of the Project
Meta's AI data center stands as a major technological and economic advancement for Louisiana, especially benefiting the Northeast and Northwest regions. The project promises not only high-paying tech positions but also positions Louisiana as a center for cutting-edge AI infrastructure. The substantial investments from Meta and Entergy underscore the magnitude and relevance of this initiative. As approvals progress, this project could set a precedent for future collaborations between major tech companies and state utilities.
