EdgeConneX And Stream Data Centers Agree To Abbott's New Texas Data Center Rules

EdgeConneX And Stream Data Centers Agree To Abbott's New Texas Data Center Rules

News ClipKicker 102.5·TX·8/11/2026

Texas Governor Greg Abbott has established new standards for data center development in the state, which EdgeConneX and Stream Data Centers have agreed to follow. These rules aim to ensure data centers contribute to infrastructure costs, protect the state's water supply, and minimize strain on the electric grid. Projects will undergo review and audit by the Public Utility Commission of Texas and ERCOT before proceeding.

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Gov: Governor Greg Abbott, Public Utility Commission of Texas, ERCOT

Texas Governor Greg Abbott has announced new statewide standards for data center development, securing commitments from major companies EdgeConneX and Stream Data Centers to comply. The directives are designed to ensure that large data centers help fund the infrastructure they utilize, safeguard the state's water resources, and prevent cost burdens from being passed to Texas households and small businesses.

Under Governor Abbott's guidelines, data center projects are required to furnish comprehensive details concerning their water and power consumption. This information will be subject to review and audit by the Public Utility Commission of Texas and ERCOT before any data center development can advance. Companies failing to meet the ERCOT audit process risk having their projects denied.

The Governor's office emphasizes that these standards serve as essential 'guardrails' for the continued expansion of the data center industry in Texas, ensuring that companies operate responsibly and bear their own costs while protecting local communities, water supplies, and the state's electric grid.