Robert Besser
06 Apr 2025

HARRISBURG, Pennsylvania: The owners of Pennsylvania's largest former coal power plant plan to turn it into a US$10 billion natural gas-powered data center. The site will provide energy to major tech companies, supporting artificial intelligence and cloud computing.

The old Homer City Generating Station, situated 50 miles from Pittsburgh, will feature seven gas-powered turbines capable of producing up to 4.5 gigawatts of electricity—enough to power approximately three million homes. This would make it the largest gas-fired power plant in the U.S. and the third-largest overall, behind the Grand Coulee Dam and Georgia's Plant Vogtle nuclear plant.

State officials say it will be the most significant investment in Pennsylvania's history. Construction is scheduled to commence this year, with power expected to be operational by 2027. The project could cost billions more than the initial $10 billion estimate.

The site already has key infrastructure in place, including power lines connected to regional grids, substations, and access to water. The developers also received a $5 million state grant to extend a gas pipeline. The turbines will be able to run on a mix of natural gas and hydrogen.

Last month, workers demolished the plant's old cooling towers and smokestacks. The coal plant shut down in 2023 after 54 years due to rising coal costs, environmental regulations, and competition from cheaper natural gas.

The launch of AI tools like ChatGPT has increased electricity demand, prompting tech companies to seek new power sources. This trend has sparked renewed interest in nuclear and gas-fired power, with some utilities delaying plant closures.

For example, the Three Mile Island nuclear plant, which was shut down, will reopen under a 20-year deal to supply power to Microsoft's data centers.