Doña Ana County Commissioners Approve New Data Center Project

On September 19, the Doña Ana Board of County Commissioners voted 4–1 to approve a massive $165 billion industrial revenue bond in support of Project Jupiter, a large-scale data center planned for southern Doña Ana County. The decision came after a marathon public hearing that stretched over five hours, with dozens of residents and community stakeholders voicing both strong support and sharp opposition to the development.

The project, spearheaded by Austin-based STACK Infrastructure, represents one of the largest investments in the county’s history. If completed, the initiative will bring four state-of-the-art data center facilities to the area just outside Santa Teresa and Sunland Park. Supporters of the project argue that it could spur economic development and attract high-tech industries to southern New Mexico. Critics, however, remain deeply concerned about environmental impacts, water use, and the long-term sustainability of such a large industrial operation in the arid Southwest.

Water Use Raises Concerns

Perhaps the most contentious issue surrounding Project Jupiter is its water consumption. According to reporting from El Paso Matters, the four facilities combined are expected to use approximately 7.2 million gallons of water annually once operational. While this figure may seem high, officials noted that it is a fraction of the 110 million gallons consumed daily by El Paso residents, according to El Paso Water.

STACK Infrastructure has emphasized that the center will use a “closed-loop” cooling system rather than a traditional evaporative system. Unlike evaporative cooling, which continually requires new water inputs, a closed-loop system relies on a one-time fill that is then continuously circulated to regulate equipment temperatures. Company representatives argue this approach drastically reduces water waste and makes the center far more efficient than many comparable facilities across the country.

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Still, residents are wary. Water scarcity is a pressing issue across the Southwest, and some community members fear that even relatively modest industrial water use could place additional strain on local supplies in the years ahead.

Electricity and Infrastructure Costs

Another major point of discussion has been the potential strain on the region’s energy grid. Data centers are known for their high energy demands, often consuming as much electricity as small towns. At the Sept. 19 meeting, representatives from El Paso Electric sought to ease concerns by assuring the public that residential customers would not bear the financial burden of infrastructure upgrades tied to Project Jupiter.

“El Paso Electric is committed to ensuring that residential customers do not subsidize infrastructure costs associated with large-load customers, including data centers,” the company said in a statement. “Any new infrastructure—whether transmission, distribution, or generation—required to serve large loads is attributed to and paid for by those customers.”

This pledge means that STACK Infrastructure will be responsible for covering the costs of any new infrastructure needed to support the data center’s significant energy needs.

Community Voices: Support and Skepticism

The Sept. 19 vote followed earlier community meetings, including a well-attended forum at the New Mexico Farm & Ranch Heritage Museum on Sept. 10. At that meeting, residents raised questions about environmental sustainability, transparency, and long-term accountability.

One speaker, Chantelle Yazzie-Martin, expressed skepticism about whether STACK Infrastructure would uphold its commitment to environmentally friendly practices, especially given recent changes to federal environmental policies under President Donald Trump’s administration.

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“How do we know with this presidential administration that you guys will keep the promise that you’re going to maintain this environmentally friendly image that you’re currently putting on?” Yazzie-Martin asked. “And not just say, ‘oh, the government is not caring anymore, so we won’t either now,’ and that it is just a little town in New Mexico.’”

Her remarks echoed the concerns of many who worry that the lack of federal oversight could give corporations leeway to relax sustainability efforts, leaving local communities to deal with potential consequences.

Economic Opportunities on the Horizon

Despite the concerns, many officials and community members see Project Jupiter as a transformative opportunity for Doña Ana County. Proponents argue that the data center could bring jobs, attract further investment in infrastructure, and put southern New Mexico on the map as a hub for the growing digital economy. While STACK Infrastructure has not released official estimates of the number of permanent jobs that will be created, county officials have suggested that construction and operational employment could provide a meaningful boost to the local workforce.

Industrial revenue bonds like the one approved on Sept. 19 are commonly used by local governments to incentivize major developments. While critics highlight the sheer size of the $165 billion bond package, supporters say such mechanisms are essential to attracting high-value industries that might otherwise bypass smaller markets like Doña Ana County.

Balancing Growth and Sustainability

The vote to approve Project Jupiter underscores the balancing act that many communities face: pursuing economic growth while protecting natural resources and ensuring sustainability. For Doña Ana County, the decision represents both an opportunity and a challenge.

The closed-loop cooling system offers some reassurance on water use, and El Paso Electric’s commitment to shielding residential customers from infrastructure costs addresses one of the biggest financial concerns. Still, lingering questions remain about long-term environmental impacts, corporate accountability, and how benefits will be distributed within the community.

As the project moves forward, continued transparency and engagement will be critical. Community members who raised concerns during the approval process are unlikely to remain silent, and watchdog groups will likely monitor STACK Infrastructure’s operations closely.

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Conclusion

Project Jupiter is poised to reshape the economic landscape of southern Doña Ana County, bringing a multi-billion-dollar data center development to the edge of Santa Teresa and Sunland Park. The 4–1 approval by the Board of County Commissioners reflects both optimism about the potential benefits and acknowledgment of the serious concerns raised by residents.

With promises of sustainable cooling systems, assurances from El Paso Electric, and the lure of economic development, the county is taking a leap into the digital future. Yet, the voices of residents like Chantelle Yazzie-Martin serve as a reminder that growth must be measured not only in dollars but also in environmental stewardship and community trust.

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