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Pennsylvania’s Largest Coal Plant Transformed Into $10 Billion Gas-Powered Data Center

The Homer City Generating Station redevelopment will meet Big Tech’s energy demands for AI and cloud computing, with construction starting in 2025 and power generation by 2027.

The smokestacks of the former coal-fired Homer City Generating Station crumble in a planned demolition to make way for a new natural gas-fired power plant in Homer City, Pa., Saturday, March 22, 2025. (AP Photo/Gene J. Puskar)
Miniatures of windmill, solar panel and electric pole are seen in front of General Electric logo in this illustration taken January 17, 2023. REUTERS/Dado Ruvic/Illustration/File Photo
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The smokestacks of the former coal-fired Homer City Generating Station crumble in a planned demolition to make way for a new natural gas-fired power plant in Homer City, Pa., Saturday, March 22, 2025. (AP Photo/Gene J. Puskar)

Overview

  • The former Homer City Generating Station was demolished to pave the way for a natural gas-powered data center campus, marking Pennsylvania's largest-ever infrastructure investment.
  • The $10 billion project will feature seven hydrogen-enabled, gas-fired turbines capable of generating 4.5 gigawatts of electricity—enough to power 3 million homes.
  • Construction is set to begin in 2025, with power generation expected by 2027, leveraging existing infrastructure like transmission lines and substations from the retired coal plant.
  • The development will use natural gas from the Marcellus Shale region and supply power to both data centers and thousands of local homes on the grid.
  • This initiative reflects growing energy demands from Big Tech companies for AI and cloud computing, with state support including a $5 million grant for gas line expansion.