Texas House Committee Probes Data Centers Strain on Water
A Texas House Committee investigated the strain data centers place on state water and energy resources, with lawmakers criticizing companies for a lack of transparency and low survey response rates. Citizens testified, advocating for moratoriums on new data center construction. Governor Greg Abbott directed the PUC to ensure data centers pay for grid connections.
A Texas House Committee hearing focused on the impact of data center construction and operations on the state's natural resources, particularly water and energy. Lawmakers criticized companies like Diode Ventures and Calypso LLC for declining to testify regarding resource-use concerns. State agencies, including the Texas Water Development Board and the Public Utility Commission, reported low response rates from data centers to water usage surveys, hindering informed decision-making.
Concerns about transparency and community engagement were prominent, with State Rep. Mary Gonzalez highlighting Meta's unresponsiveness to local officials, despite its membership in the Data Center Coalition (DCC). County officials, such as Shawn Nanny of Tom Green County, expressed a lack of authority over data center projects. Representatives from Amazon Web Services, Google, and Vantage Data Centers, however, testified about their companies' commitments to sustainable practices, including the use of recycled water and air cooling systems.
Additionally, State Armor CEO Michael Lucci raised national security concerns, suggesting that foreign entities with ties to the Chinese Communist Party are exploiting data center debates to further their agenda in the AI sector. The committee, while generally receptive to data center expansion, underscored the need for greater transparency and responsible growth from the industry.
Citizens from across Texas testified, many advocating for moratoriums on data center construction until environmental and resource impacts are thoroughly understood. This public sentiment is reflected in recent polling showing low support for data centers among Texans. Governor Greg Abbott has also issued a directive for the Public Utility Commission to ensure data centers are responsible for grid connection costs, rather than ratepayers.