Meta’s $10 Billion Data Center: Louisiana’s Economic Leap or Energy Gamble?

Apr 29, 2025

By The Bayou Insider Staff

April 28, 2025

Louisiana’s rural northeast is poised for a transformation. Tech giant Meta Platforms Inc. announced it will build a $10 billion AI data center in Richland Parish, marking the state’s first major entry into the high-stakes world of global data infrastructure.

While state leaders are celebrating the move as an economic breakthrough, concerns are quickly emerging over the project’s energy demands, environmental consequences, and who exactly will bear the costs.

A Historic Investment in Richland Parish

Meta’s plans are ambitious:

A sprawling 4 million square foot data center campus
Built on 2,250 acres at the former Franklin Farm megasite, between Rayville and Delhi
Supporting Meta’s AI initiatives, including training models like Llama

Construction is underway with an expected completion date around 2030, making it Meta’s largest facility worldwide once completed.

Governor Jeff Landry called it “a new chapter for Louisiana,” touting the announcement as a signal that the state is ready to diversify its economy beyond petrochemicals and agriculture.

“Meta’s decision to choose Louisiana reflects our growing attractiveness for high-tech industries,” Landry said. (Source)

Promised Economic Boost

The immediate economic benefits appear substantial:

500+ permanent jobs with salaries well above the state average
5,000 temporary construction jobs during the multi-year building phase
$200 million investment in local infrastructure improvements, including roadways and water systems

The deal has already earned Louisiana the Platinum 2024 “Deal of the Year” Award from Business Facilities Magazine. (Source)

Local officials hope this project will help reverse years of population decline and economic stagnation in northeast Louisiana.

The Power Problem: Entergy’s $5 Billion Proposal

With opportunity comes enormous energy demand.

Meta’s new data center will require so much electricity that Entergy Louisiana has proposed building three new natural gas power plants, costing an estimated $5 billion. (Source)

Entergy is seeking approval from the Louisiana Public Service Commission (LPSC) to charge the costs to its 1.1 million customers through rate increases.

That’s where the project’s shine begins to tarnish for many residents and businesses.

Consumer advocates are warning that existing ratepayers could see higher utility bills without seeing any direct benefit from the data center.
Walmart, one of Louisiana’s largest employers and electricity users, has already expressed opposition, seeking protections from unfair rate hikes. (Source)

Environmental Backlash Brewing

Beyond the financial concerns, environmental groups are sounding the alarm over Entergy’s plan to lean heavily on natural gas to meet Meta’s energy needs.

Critics argue:

It will increase greenhouse gas emissions, undermining Louisiana’s climate goals.
Communities near the new plants could face higher health risks from industrial pollution. (Source)

Adding fuel to the fire, consumer advocates are calling for Meta and its developer, Laidley LLC, to be officially added to Entergy’s application so that their full energy usage and job commitments are subject to public scrutiny. (Source)

A Bigger National Trend

Meta’s Louisiana project isn’t happening in a vacuum. Across the United States, tech companies are racing to build data centers closer to cheap, abundant energy supplies—often in rural areas far from traditional tech hubs.

As the AI boom accelerates, so does the need for power-hungry computing facilities. A recent report in The Wall Street Journal notes that data center electricity demands could grow by 30% by 2030 nationwide. (Source)

Louisiana’s vast natural gas resources and inexpensive land made it an attractive option—but with opportunity comes new risks.

What Happens Next?

The Louisiana Public Service Commission is currently reviewing Entergy’s proposal. The final decision will determine not only the fate of the new power plants but how costs and environmental impacts will be distributed.

For now, Louisiana finds itself at the crossroads of a 21st-century economic gamble—betting that the long-term gains from a booming tech economy will outweigh the short-term controversies over energy and environmental stewardship.

Only time will tell if this $10 billion gamble pays off.