Oracle's Data Centre Switch to Sustainable Fuel Cell Power

Oracle has changed the energy model for one of its largest planned AI data centre projects in Doña Ana County, New Mexico. The company is deploying fuel cell technology from Bloom Energy to power the facility.

The decision was announced by Oracle alongside its partner, BorderPlex Digital Assets. Fuel cells will replace the earlier design, which relied on gas turbines and diesel generators.

The revised plan creates a single large-scale microgrid with up to 2.45GW of installed capacity. According to Oracle, this could make it one of the largest data centre microgrid deployments in the United States.

The shift to on-site power generation follows a pattern among operators seeking to secure energy for AI workloads without depending on external grids.

Fuel cells cut emissions

The fuel cell system addresses a problem facing data centre operators: securing high-density power without adding pressure to existing grids. Fuel cells generate electricity through an electrochemical process rather than combustion.

According to Oracle, the fuel cell design reduces nitrogen oxide emissions by 92% compared with the original turbine-based plan. Water consumption is also minimal under the revised system.

"We are excited to move forward with this updated energy solution, which reflects our commitment to both the latest innovation and community priorities as we advance the next generation of AI infrastructure," says Mahesh Thiagarajan, Executive Vice President of Oracle Cloud Infrastructure.

"Bloom's fuel cell technology enables us to deliver highly reliable on-site power with a lower environmental footprint – supporting the project's performance needs while contributing to stronger environmental outcomes."

The changes to Project Jupiter respond to concerns about the environmental footprint of AI infrastructure. Data centres running AI models require consistent power at high densities.

Microgrid model reduces grid reliance

The microgrid design allows Oracle to generate power on-site rather than drawing from the regional electricity grid. This could reduce risks tied to grid congestion and supply volatility.

Oracle will pay all energy costs for the facility. According to the company, this means no impact on local electricity prices or grid capacity for other users.

"Bloom has rapidly become the platform of choice for powering AI data centres responsibly," says Aman Joshi, Chief Commercial Officer at Bloom Energy.

"Bloom's fuel cell technology will power what is expected to be one of the largest data centre microgrids operating in the United States at the time of completion."

Aman adds: "Our energy solution not only dramatically reduces water use, it is also cleaner, quieter and helps protect electricity rates for local residents. This is a model that can be replicated across America – it is digital power for the digital age."

Sustainability leaders won’t want to miss Sustainability LIVE: The Leadership Summit at London Climate Action Week, taking place at Code Node on 25 June 2026.

Register now for this exclusive invite-only event. 

Regional development and infrastructure

BorderPlex Digital Assets views Project Jupiter as part of a strategy to position southern New Mexico as a location for advanced computing and clean energy infrastructure. The project includes commitments to local infrastructure and workforce development.

"Project Jupiter started with a belief that Doña Ana County could become a Tier 1 industrial engine for New Mexico," says Lanham Napier, the Chairman of BorderPlex Digital Assets. "We said we could help bring cleaner energy, stronger infrastructure, more jobs and new investment to southern New Mexico, and that vision is becoming reality."

Lanham adds: "With this announcement, Project Jupiter is becoming a platform for better jobs, stronger infrastructure and generational opportunity in a region with the talent, work ethic and ambition to help lead New Mexico's next chapter of growth."

The facility will use closed-loop, non-evaporative cooling systems to reduce water consumption during operations. This aligns with the fuel cell strategy to reduce a data centre's environmental impact.

Construction progress and employment

Funding has been allocated to water system upgrades, schools, infrastructure and workforce programmes. Construction is progressing according to schedule.

According to Oracle, the development is expected to create 4,000 construction jobs. The company also expects the facility to support 1,500 ongoing roles once operational.

The project represents a test case for fuel cell deployment at scale in the data centre sector. Other operators are watching similar microgrid models as AI workloads continue to grow.

The fuel cell approach could offer a template for reducing emissions while maintaining energy reliability. However, the long-term performance of fuel cells at this scale has yet to be demonstrated across multiple sites.