US Datacenter Expansion Spurs Fossil Fuel Pipeline Boom Amid Regulatory Rollbacks

A surge in artificial intelligence datacenters and international natural gas exports is driving the largest expansion of fossil fuel pipeline projects in decades across the United States. Federal records analyzed in a recent report by the Environmental Integrity Project identified nearly 200 pipeline projects either proposed or currently in development, which would collectively span 17,000 miles across 42 states.

The infrastructure boom is largely fueled by the massive electricity demands of expanding datacenters, alongside rising global demand for natural gas exports driven by conflicts in Ukraine and Iran. If completed, the proposed pipelines would transport approximately 40% more natural gas daily than the current system handles and could supply at least 98 proposed gas-fired power plants dedicated to powering datacenters.

Alexandra Shaykevich, research manager with the Environmental Integrity Project, described the unprecedented scope of the development. "This is the largest boom in a couple decades… and it coincides with all this deregulation," Shaykevich said, adding that the situation raises significant safety concerns for communities throughout the country given the risks of leaks and explosions.

The projects are heavily concentrated in several key fossil fuel-producing states. Approximately 42 projects are located in or cross through Texas, 27 are in Louisiana, and nine each are in Pennsylvania and Illinois. According to the report, more than 25% of these initiatives have requested expedited environmental reviews.

Critics and advocates have raised serious concerns regarding the Trump administration's approach to the pipeline boom. The administration has utilized mechanisms such as declaring an "energy emergency" and invoking the Defense Production Act to accelerate permit approvals, reduce the scope of environmental studies, and limit public input, sometimes overriding state objections.

In March, the administration moved to restart the Santa Ynez oil pipeline in Santa Barbara, California, despite the state having shut it down in 2015 following a major spill that impacted roughly 150 miles of coastline. Similar federal backing has been applied to the controversial 125-mile Constitution pipeline intended to run from Pennsylvania to upstate New York.

Environmental advocates are also alarmed by the targeting of foundational protections, including the Clean Water Act and the Endangered Species Act. The report indicates that at least 81 projects are expected to damage more than 19,000 acres of federally protected wetlands, coinciding with broader administration efforts to strip protections from the vast majority of the nation's wetlands.

Safety advocates emphasize that the country already averages roughly 1.7 pipeline accidents, spills, fires, or explosions daily. The report points to deadly past incidents, such as a 2023 Pennsylvania chocolate factory explosion triggered by a gas pipeline crack that killed seven workers, and a recent pipeline explosion in New Mexico that killed two workers. Meanwhile, federal documents indicate the administration has cut average enforcement actions in half and refrained from taking enforcement action against companies violating safety regulations.