U.S. Administration Repurposes Federal Land for AI Data Centers and Exempts Them from Environmental Rules

The U.S. Department of Energy announced plans to redevelop a former Cold‑War uranium enrichment site in Paducah, Kentucky into a massive AI data‑center campus. The $100 billion project will add 2 GW of natural‑gas power, 2.6 GW of battery storage and partner with NextEra Energy, Brookfield and local utilities. Similar repurposing projects have been outlined for sites in Piketon, Ohio and the Savannah River Site in South Carolina.

At the same time, the Environmental Protection Agency removed data‑center power plants from the Clean Air Act’s Acid‑Rain Program, allowing about 60 “islanded” plants to operate without emissions limits. EPA Assistant Administrator for Air Aaron Szabo said the move is needed to keep U.S. leadership in artificial intelligence. Additionally, the Federal Aviation Administration proposed waiving environmental reviews for commercial rocket launches and re‑entries, anticipating a surge in activity from companies such as SpaceX and Blue Origin. Both actions are framed as essential to national security and economic prosperity.