SpaceX is seeking regulatory approval to build a natural-gas power facility for a planned $24 billion artificial-intelligence computing complex in Starbase, Texas, where the company operates rocket launch facilities. Its application covers 35 natural gas turbines with a combined capacity of 748 megawatts.
The company plans to develop and operate both the power facility and the computing complex. Generating electricity on site could reduce its reliance on Texas’s main power grid and help avoid delays in securing enough grid capacity. SpaceX still needs to meet applicable environmental and development requirements before construction can proceed.
The Starbase City Commission is scheduled to consider a development agreement and proposed property tax incentives on December 9, 2026. TechRadar reports that SpaceX is also pursuing natural gas infrastructure in Texas and Florida for its Starship rocket program. Separately, Bloomberg reports that the company is exploring a gas-fired plant near Houston to supply electricity to Terafab, an AI semiconductor complex it plans to develop with Tesla.
The proposal comes amid opposition to large data center projects. At least 47 major data center construction projects faced permitting delays or organized resident opposition during 2026, according to regulatory intelligence firm RegLayer. Concerns include electricity costs, water use and local infrastructure effects. Texas governor-elect Gina Hinojosa has proposed restricting new data center approvals and ending tax incentives for their construction. She is expected to take office in January 2027.
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