WASHINGTON— The Center for Biological Diversity filed a protest today urging the Federal Energy Regulatory Commission to reject an application by one of the world’s largest private equity firms to take over New Mexico’s largest public utility.

“Public utilities are supposed to serve the public interest, not be new profit centers for vulture capitalists like Blackstone,” said Lavran Johnson, an Albuquerque-based attorney at the Center. “New Mexicans shouldn’t be forced to subsidize the energy-thirsty AI bubble by turning our public utility over to a private equity firm.”

If the application is approved by FERC and New Mexico utility regulators, Blackstone will gain control over most of New Mexico’s energy system. This could force New Mexico ratepayers to foot the bill for powering Blackstone’s massive data center investments.

The explosive growth in AI-driven data centers is fueling rising electricity demand across the country, which is driving new fossil fuel power generation that worsens the climate emergency. Blackstone is investing heavily in data centers and acquiring the Public Service Company of New Mexico could allow the firm to leverage the utility to aid its other business ventures.

“Private equity firms like Blackstone are buying up public utilities and data centers to cash in on the rapid growth of artificial intelligence, and it’s the public and the planet that ultimately suffer,” said Jean Su, director of the Center’s energy justice program. “These data centers are saddling folks with ever-increasing electricity bills while they worsen climate pollution and drain dwindling water resources. FERC shouldn’t rubberstamp deals that undermine critical public functions like our electricity system to turbo-charge corporate profits.”

The Center is also opposing Blackstone’s application before the New Mexico Public Regulation Commission. The commission has scheduled an evidentiary hearing on Blackstone’s application for May 2026.