Texas has suspended the approval process for new data centers while state agencies conduct an audit of their effects on the power grid. Governor Greg Abbott announced this decision amid the industry's rapid expansion, which includes a $14 billion Meta campus currently under construction in El Paso.
Abbott stated that the review will assess the electricity and water usage of data centers, their plans for self-supply of power, and measures to mitigate noise and traffic impacts on local communities. The audit will involve both the Electric Reliability Council of Texas (ERCOT) and the Public Utilities Commission, which must approve any new data center projects.
Democratic gubernatorial nominee Gina Hinojosa criticized the pause as insufficient and called for an emergency legislative session to address the lack of regulations governing data centers. She expressed concerns about existing agreements and their potential impact on water resources in El Paso, emphasizing the need for community input on these issues.
