Related, NextEra plan $22B Texas power plant for data center
ENCINAL, Texas - Related Companies and NextEra Energy Resources, in collaboration with Lewis Energy Group, are set to construct a $22 billion natural gas power plant in Encinal, Texas, as detailed in a recent press release. This partnership is part of Project Star, a venture selected by the U.S. Department of Commerce and the Republic of Korea to develop a 6.47 gigawatt generation capacity.
The power plant will primarily serve a 5 GW data center campus, currently under development by Related Digital, situated adjacent to the facility. The remaining power will be supplied to the grid. This initiative aligns with Texas Governor Greg Abbott's mandate for data centers to generate their own electricity within the ERCOT system.
NextEra Energy Resources and Related Companies will manage the construction, operation, and management of the natural gas-powered generation plant, while Lewis Energy will be responsible for providing the associated infrastructure, including gas supply. This $22 billion investment is expected to generate around 8,400 jobs during the peak construction phase and maintain approximately 170 permanent positions once the power plant is operational.
Additional permanent jobs will also be created by the adjacent data center campus. The collaborative project, jointly owned by the Republic of Korea and the United States under the terms of a recent trade agreement, is expected to have its initial generating resources online by 2029, pending necessary permits and approvals. The project will be developed in phases, with Lewis Energy Group providing the land, produced water, and natural gas supply.
NextEra Energy has already invested over $20 billion and operates more than 9 GW of generation capacity in Texas.
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