(Reuters) -The National Association for the Advancement of Colored People (NAACP) on Tuesday sent a notice to billionaire Elon Musk's xAI, signaling its intention to sue the company over air pollution from the AI startup's data center in Memphis.

The letter, sent by Southern Environmental Law Center (SELC) on NAACP's behalf, alleges xAI has violated federal law by using methane gas turbines at its South Memphis data center without acquiring permits or "best available" pollution controls.

Data centers that provide computing power for AI are highly power-intensive and require round-the-clock electricity. Given the slow pace of clean-energy deployments, the surging demand is being met by fossil fuels including natural gas and coal.

Methane emissions from human activities such as oil and gas production, electricity generation and agriculture are short-lived in the atmosphere, but are often more potent than carbon dioxide as a greenhouse gas.

Emissions from xAI's data center further exacerbate the already poor air quality in Memphis, SELC said.

"These turbines have pumped out pollution that threatens the health of Memphis families. This notice paves the way for a lawsuit that can hold xAI accountable for its unlawful refusal to get permits for its gas turbines," SELC Senior Attorney Patrick Anderson said.

"We take our commitment to the community and environment seriously. The temporary power generation units are operating in compliance with all applicable laws," an xAI spokesman told Reuters.

The AI company has installed 35 turbines, nearly all of which were running without the required permits as of April, SELC said.

The SELC added that while xAI had removed some smaller turbines, the company recently installed three larger turbines.

The environmental legal advocacy organization said in August that xAI had installed 20 gas turbines at the site.

Representatives of Elon Musk did not immediately respond to Reuters' request for comment.