DOJ seeks to dismiss air pollution lawsuit against xAI data center

The Trump administration is helping one of Elon Musk’s companies fight a civil rights lawsuit that alleges it is illegally running dozens of natural gas turbines to power a $20 billion data center in Mississippi

WASHINGTON -- The Trump administration is helping one of Elon Musk's companies fight a civil rights lawsuit that alleges it is illegally running dozens of natural gas turbines to power a $20 billion data center in Mississippi.

The NAACP and other groups say Musk's xAI subsidiary failed to get a permit for its power plant — which is located near homes, schools and churches — creating health risks for families in North Mississippi and nearby Memphis and violating the federal Clean Air Act.

The Justice Department, in a motion late Monday, sought to intervene in the case and dismiss the lawsuit, arguing that the plant is needed to power an AI data center that is “critical to the economy” and the U.S. military.

The state of Mississippi — not the federal government — is responsible for any permits for the power plant and “decided no permit was required," the Justice Department said in a statement.

“Ultimate responsibility for enforcing federal law belongs to the Executive Branch, not private interest groups,” said Associate Attorney General Stanley Woodward, who is No. 3 at the Justice Department. The motion to intervene in the case is intended to protect national security and promote American energy and innovation, he added.

The Trump administration has made AI a top national and economic security priority. It has also upended policies meant to address climate change and has worked to undo environmental regulations on business.

Trump also has had close ties to Musk, who led his federal government cost-saving initiative, known as the Department of Government Efficiency, or DOGE, early last year. Crowned the world’s first trillionaire Friday when SpaceX went public, Musk financed Trump’s presidential campaign more than any other donor and is pouring money into midterms.

The Justice Department action comes just days after SpaceX, Musk's rocket company and the parent of defendant xAI, pulled off the biggest initial offering of stock ever, partly due to the Trump administration's help supplying it with billions of dollars in federal contracts. SpaceX has a total value of more than $2 trillion, making it bigger than Exxon Mobil, Bank of America and Coca-Cola combined.

The NAACP lawsuit, filed in April, accuses xAI of running dozens of portable natural gas turbines without proper controls to limit emissions and without the permitting required by the