US Datacenter Demand Drives Fossil Fuel Pipeline Boom Amid Deregulation

A comprehensive analysis of federal records reveals that a surge in data center demand is propelling a massive expansion of fossil fuel pipeline projects across the United States. Compiled by the Environmental Integrity Project, the report highlights approximately 200 proposed or active pipeline initiatives that would stretch across 17,000 miles. These developments are designed not only to supply dozens of proposed gas-fired power plants intended to serve expanding artificial intelligence infrastructure, but also to support increased natural gas exports driven by international conflicts.

Experts note that this unprecedented build-out coincides with widespread deregulation. The Trump administration has targeted foundational laws such as the Clean Water Act and the Endangered Species Act, which historically served to block high-risk projects and hold polluters accountable. Furthermore, officials have increasingly utilized expedited environmental reviews, invoked energy emergencies, and deployed the Defense Production Act to advance projects despite local opposition and state-level objections.

The largest pipeline boom in decades coincides with deregulation, increasing accident risks for communities.

Environmental and Safety Risks

The report raises significant concerns regarding public safety and environmental degradation. The United States currently logs about 1.7 pipeline accidents, spills, fires, or explosions daily, and the proliferation of new lines is projected to increase these hazards. The administration has reduced federal enforcement actions, issued memos declining to penalize certain safety violations, and permitted companies to operate pipelines at higher pressures in densely populated areas while conducting fewer pressure tests.

Additionally, more than 80 of these pipeline projects threaten to damage upwards of 19,000 acres of federally protected wetlands. Local communities, particularly in fossil fuel hubs such as Texas, Louisiana, Pennsylvania, and Illinois, bear the brunt of these environmental and health risks while economic benefits flow elsewhere.

Why it matters

The rapid expansion of pipeline infrastructure to support technology growth demonstrates how the digital and energy sectors are deeply intertwined. As regulatory oversight diminishes, communities near these sprawling energy corridors face heightened risks of industrial accidents and environmental damage, shifting the burden of technological advancement onto local populations.