Proposed Bastrop data center alarms neighbors
Neighbors in Bastrop County, Texas, are alarmed by a proposed 1,450-acre data center project, prompting calls for increased oversight and a moratorium on new facilities. Governor Greg Abbott has directed state energy regulators to review proposed power demands and water usage plans for data centers statewide. Lawmakers are also scrutinizing tax incentives for the industry amid concerns about grid reliability and water resources.
Texas lawmakers are under pressure to reduce tax incentives for data centers following a directive from Governor Greg Abbott. The Governor has instructed Texas energy regulators to assess facilities attempting to connect to the state's power grid, mandating that no projects proceed until compliance with state requirements is confirmed. This action stems from concerns that an unprecedented level of proposed power demand could jeopardize grid reliability and stability if not properly reviewed. The directive also calls for scrutiny of water usage and conservation plans, alongside financial details such as tax incentives and grants.
Locally, Bastrop County residents are expressing alarm over a proposed 1,450-acre data center project with associated tax breaks near O'Callaghan Road. Dave Scott, a local resident, voiced concerns about property values and the environmental impact on rural areas. County officials are currently reviewing the project, which includes a permit issued in late July to prepare the site for a gas-powered energy facility. Data center company EdgeConneX is also noted to list Austin among its "coming soon" locations, though it did not respond to inquiries regarding the Bastrop development.
Political figures are intensifying their pushback against the industry. Republican Agriculture Commissioner Sid Miller called for a one-year moratorium on data centers at a town hall in Bastrop, citing worries about water resources, the electric grid, and farmland loss. Governor Abbott's office stated that data centers should not take precedence over Texas families, directing the Public Utilities Commission and ERCOT to require data centers to fund their own infrastructure, generate their own power, reuse water, and contribute to lowering residential electric bills. Democratic State Representative Gina Hinojosa has also advocated for an emergency executive order to implement a data center moratorium.
In related developments, Meta has agreed to specific conditions for its data center project northeast of El Paso, while Google pledged compliance following its $40 billion investment in Texas, aligning with Governor Abbott's standards for data center providers. However, a report from the New York Times indicates that Amazon's data center development in Pickens County could become the largest source of climate pollution in the U.S.