New equation brings together AI, utilities and energy producers

Power availability is making Texas and the Permian Basin a magnet for data centers.

That has resulted in a new equation that brings together data centers, utilities and energy producers, speakers agreed during the first panel of the second annual Permian Power Conference.

Dean Nelson, founder and chairman of iMasons, cited data centers' ability to locate near energy sources because of Texas' business-friendly policies and abundant energy.

Those policies are what make Texas special, said Dado Slezak, executive vice president of energy capital and strategy at QTS Data Centers.

Managing the power demands of these data centers requires significant coordination and timing, said Adam Lavallee, global business development manager of AI factories at Emerson.

Lavallee also said data centers, especially those with their own power generation or behind-the-meter power, can put excess power back into the grid.

"You can supply the power base," he said. "If you have storms and power outages, you have this new source that can be put into the grid."

Slezak cited distribution and transmission as two challenges facing data center developers.

The three speakers agreed it is important for data center developers to be good neighbors.

Slezak said it is important for data center developers to interact with those communities.

There is so much misinformation, Nelson agreed.

"To be good neighbors, you have to get out among your neighbors, listen, collaborate and compromise," he said. "It's not telling everyone what the story is, it's listening to them. We are part of that community."

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This story was originally published June 8, 2026 at 9:57 PM.