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MLGW defends support for Elon Musk’s xAI data center despite criticism

Memphis Light Gas and Water (MLGW) has rebutted claims of subsidizing Elon Musk’s xAI data center, asserting adherence to state and federal regulations. The Southern Environmental Law Center raised concerns over potential grid strain and financial impact on residents. MLGW ensures that costs for grid upgrades will not burden ratepayers, highlighting xAI’s $24 million substation investment to bolster Memphis infrastructure and electricity reliability.

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