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Louisiana Rejects Meta Data Center Probe

Yahoo Tech •
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Louisiana utility regulators have denied a request to investigate Meta Platforms' $27 billion data center deal in Richland Parish, according to environmental law group Earthjustice. The Louisiana Public Service Commission rejected Earthjustice's motion to probe project financing arrangements that could shift costs to utility customers.

Earthjustice argued that Meta's new financial arrangement would allow the company to abandon the project in four years rather than fifteen, without guaranteeing project costs. The deal involves three new gas-fired power plants built specifically for the data center. The environmental group warned that in four years, the local utility would likely not have recouped construction costs, forcing higher rates on homes and businesses.

The commission's decision effectively clears the way for similar financial arrangements between tech companies and utilities. Earthjustice attorney Susan Stevens Miller criticized the move, stating it gives tech companies a green light to use financial maneuvering to maximize profits while evading public accountability. The utility regulator declined immediate comment on the decision.