The NAACP and the Southern Environmental Law Center (SELC) have taken formal steps toward suing Elon Musk’s artificial intelligence company, xAI, for allegedly violating the Clean Air Act at its Colossus data center in South Memphis. The massive facility, which powers xAI’s Grok chatbot, has come under fire for operating dozens of methane-burning gas turbines without required federal or state permits—emitting hazardous pollutants near a predominantly Black neighborhood already overburdened by industrial pollution.
Located near the historic Boxtown community, the Colossus facility came online in June 2024 and has since been a flashpoint for community concern and legal scrutiny. SELC, representing the NAACP, issued a 60-day ‘notice of intent to sue’ on June 17, a legal prerequisite under the Clean Air Act. The letter alleges that xAI installed as many as 35 unpermitted gas turbines, far more than the 15 it initially sought authorization for, and failed to implement any best-available pollution control technologies.
“XAI’s decision to install and operate dozens of polluting gas turbines without any permits or public oversight is a clear violation of the Clean Air Act,” said SELC Senior Attorney Patrick Anderson. “Over the last year, these turbines have pumped out pollution that threatens the health of Memphis families.”
Aerial and thermal imaging, reviewed by SELC, shows nearly all of the turbines were active as recently as April. New satellite images reveal that while some smaller turbines were removed, xAI has since added three larger ones. These turbines emit formaldehyde and smog-forming chemicals linked to asthma, respiratory illness, heart disease, and cancer. According to environmental studies, residents of Boxtown face a cancer risk four times the national average.
The NAACP has been vocal in calling for the facility’s shutdown. In a letter sent to Shelby County Health Department Director Dr. Michelle Taylor and Memphis Light, Gas & Water, the civil rights organization accused xAI of showing a “lackadaisical approach” to environmental regulations and urged the health department to issue an emergency shutdown order.
“Being the world’s richest man doesn’t give you the right to pollute Black communities and jeopardize the health of its residents,” said NAACP President/CEO Derrick Johnson. “We will not allow xAI to get away with this.”
City and county officials have claimed that xAI is covered under a “364-day exemption” allowing temporary operations without a permit, but neither local nor federal agencies have identified a clear legal basis for such an exemption—especially for turbines of this scale. The EPA requires air quality permits for operations that exceed certain pollution thresholds, which community advocates say xAI has already crossed.
Shelby County has long struggled with air quality. The Memphis metro area consistently fails national smog standards, and the American Lung Association recently gave Shelby County an ‘F’ for ozone pollution. The Colossus facility adds to the area’s industrial burden, which already includes an oil refinery, steel mill, and TVA gas plant.
Public outcry has been mounting. Hundreds of residents have filed complaints with the health department. Community protests have drawn attention to both Colossus and a second xAI facility under development in the Whitehaven neighborhood. Critics fear it, too, could be powered by polluting turbines.
“Too often, billion-dollar corporations set up polluting operations in Black neighborhoods without accountability,” said Johnson. “This is environmental injustice, and we’re taking a stand.”
If xAI does not respond or take corrective action within the 60-day window, the NAACP and SELC are prepared to file a federal lawsuit that could force the company to shut down operations or make significant changes to comply with clean air regulations.
