SoftBank to spend an eye-popping $33B to build huge U.S. gas power plant

A subsidiary of SoftBank, SB Energy, is gearing up to construct a colossal 9.2 gigawatt natural gas power plant along the Ohio-Kentucky border, as reported by Bloomberg. This facility, if realized, would emerge as the largest power plant in the United States, with the potential to supply electricity to approximately 7.5 million homes. The project's staggering estimated cost of $33 billion surpasses that of recent natural gas power plants, which have seen significant increases in expenses. The question of who will ultimately finance this endeavor remains uncertain; however, historically, rate-payers have typically borne the costs associated with new energy generation capacities. SB Energy is collaborating with OpenAI on the Stargate project, although it remains unclear whether the forthcoming power plant will directly supply the energy grid or primarily serve data centers. Currently, OpenAI and SoftBank are developing a “proof of concept” data center at the former Lordstown automotive assembly facility owned by GM. Constructing a power plant of this magnitude is expected to take several years, possibly even a decade, especially considering the ongoing shortages of natural gas turbines. Upon completion, the plant could generate around 15 million metric tons of carbon dioxide annually. When factoring in methane leaks from the natural gas supply chain, the environmental impact could be significantly more substantial.