Greg Abbott pauses Texas data center approvals pending statewide audit
Texas Governor Greg Abbott has ordered state regulators to conduct a comprehensive audit of all data center projects seeking permits, effectively pausing new approvals due to concerns about the state's energy grid. This move comes amidst growing political pressure and public backlash against the data center boom, including calls for a formal moratorium. The audit is intended to ensure projects comply with state requirements and do not endanger grid reliability.
Texas Governor Greg Abbott has issued a directive ordering the Public Utilities Commission (PUC) and the Energy Reliability Council of Texas (ERCOT) to conduct a comprehensive verification and audit of all data center projects seeking permits. This order effectively pauses new data center approvals across the state, a significant shift in the governor's stance after months of resisting calls for a formal moratorium.
The directive stems from concerns over the immense power demands of data centers, with ERCOT currently reviewing requests totaling 474 gigawatts, approximately five times Texas' record peak electricity demand. Governor Abbott stated that protecting Texans' safety and quality of life is the top priority, and any project failing to comply with state requirements will be denied connection to the grid.
The governor's action follows increasing political pressure and public backlash, particularly in rural Republican strongholds. Protests and letters from advocacy groups, including Humans First, have urged the governor to take stronger action, with some critics dismissing the audit as