Under Hinojosa, Texas data center approvals could stay paused
Governor-elect Gina Hinojosa has pledged to impose a moratorium on Texas data center approvals until the Legislature adopts protections for communities. The proposed pause would address concerns about electricity demand, water use, tax subsidies and public transparency.
Governor-elect Gina Hinojosa said she would impose a statewide moratorium on data center approvals until the Texas Legislature passes laws governing the industry. Her proposal would extend beyond outgoing Gov. Greg Abbott’s temporary freeze on environmental permitting and grid connections during an ongoing audit period.
Hinojosa’s proposed policies include protecting water supplies, preventing higher electricity costs for Texans, ending certain tax subsidies and restricting nondisclosure agreements. The pledge comes amid growing grassroots opposition across Texas, where residents and critics have raised concerns about data centers’ projected power consumption and water needs, particularly during drought conditions.