Texas Data Center Withdraws After Falling Short Of Standards
Diode will not proceed with a proposed data center near Cedar Creek Lake in Henderson County, Texas, after Governor Greg Abbott announced the project failed to meet state standards. Abbott stated that Texas requires companies to prioritize communities, natural resources, and the power grid, and will seek legislation to codify these expectations. He warned other data center developers to meet these standards or withdraw their projects.
Governor Greg Abbott announced that Diode has withdrawn its plans for a data center near Cedar Creek Lake in Henderson County, Texas. In a notice to Henderson County officials, Diode determined the project did not meet the Governor's directives or community expectations.
Abbott stated that "Texas requires companies to put communities first, protect our natural resources and power grid, and respect the quality of life of our residents." He lauded Diode's decision to withdraw and warned that other data center developments failing to meet these standards should also do the same. The Governor's expectations were previously detailed in a June 10 directive to the Public Utilities Commission (PUC) and the Electric Reliability Council Of Texas (ERCOT). Abbott plans to seek legislation to codify these expectations, ensuring that data center growth does not come at the expense of Texas families or rural communities.