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Dec. 25, 2025, 1:33 p.m.
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Independence Approves $2 Billion Power Plant and Data Center Project with Nebius

Brief news summary

Independence, Missouri, is poised to become a key hub for AI-driven industry following approval of a major new power and data center project. Independence Power Partners will build a two-phase natural gas power plant on the former Blue Valley Power Plant site, starting with 225 megawatts in Phase 1 and potentially expanding to 800 megawatts in Phase 2 to support the Dutch AI company Nebius’s data center. Nebius has purchased 398 acres at NorthPoint Development’s EastGate Commerce Center for a 2.5-million-square-foot campus with multiple buildings. Construction is set to begin early next year, lasting three to five years, with completion targeted for 2030-31. City officials highlight the project’s role in boosting industrial growth while keeping residential power rates stable. Although some environmental concerns exist, advanced technologies like closed-loop water cooling will help minimize impact. The development is expected to create 125 tech jobs and increase city revenue through PILOT fees, strengthening Independence’s economic future.

Tod Palmer, a KSHB 41 reporter covering sports business and eastern Jackson County, learned about this significant project through his beat covering the Independence City Council. Independence officials are enthusiastic about a new multi-phase, privately financed power plant and data center project they believe will drive industrial development in the NorthPoint Development’s EastGate Commerce Center. The City Council unanimously approved on December 1 a plan for Independence Power Partners, a Delaware-based company supported by Exigent Energy and United Energy Trading, to develop a new power plant on 91 acres at the retired Blue Valley Power Plant site on East Truman Road. Phase 1, starting next year, involves building a 15-turbine natural gas plant generating 225 megawatts. Phase 2 will add advanced natural gas turbines and steam generators, potentially producing up to 800 megawatts. Independence Power Partners will handle $2 billion in industrial revenue bonds funding the project. Independence Power and Light (IPL), the city’s utility, has negotiated a power purchase agreement with Independence Power Partners, who in turn has a separate agreement with Nebius, an Amsterdam-based AI technology firm, to supply power. Nebius recently bought 398 acres at NorthPoint, northwest of Missouri 78 and Little Blue Parkway, intending to build a 2. 5-million-square-foot data center across 8 to 10 buildings. Construction is slated to begin early next year but still requires City Council approval.

This would be Nebius’ first owned and operated data center, complementing their existing locations in Kansas City (co-locating with Patmos), Europe, and New Jersey. The entire power plant and data center project is expected to complete between 2030 and 2031, with Nebius hosting an open house January 12 and City Planning hearings scheduled mid-January. This new power plant was crucial to securing Nebius’ investment—previous projects failed due to insufficient power availability. City officials acknowledge residents’ environmental concerns but emphasize the plant’s efficiency, natural gas fuel, and closed-loop water cooling will minimize impact. The site has already been cleared by NorthPoint, and the city’s Courtney Bend Water Treatment Plant has ample excess capacity to meet water demand. Officials assure residents the new power source will not raise residential IPL electricity bills, addressing common public worries. Historically, fixed-payment power deals in other cities proved problematic as costs rose, but Independence’s arrangements pass costs directly from the private power company to Nebius, shielding residents from increases. Currently, residential customers consume 50% of IPL power with 90% market share; after Nebius’ facility opens, industrial use is expected to comprise 80%. The project’s PILOT fees are also anticipated to significantly boost the city’s budget. Nebius anticipates supporting 125 full-time jobs, including on-site IT, technology, and software engineering positions, alongside construction roles. Share your story idea with Tod Palmer for further coverage on this transformative project.


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