Why Texas Voters Are Concerned About Data Centers

Chief Political Reporter Rudy Koski interviewed Dan Diorio from the Data Center Coalition about the growing concerns among Texas voters regarding data centers. Diorio emphasized the essential role of data centers as the "backbone of the 21st century economy," underpinning daily activities from work and communication to healthcare and financial transactions. He noted that the industry's rapid growth since 2020 has necessitated proactive stakeholder engagement to explain their projects and address public perception. The discussion highlighted concerns over data centers' impact on the ERCOT grid, with Diorio stressing the importance of utilities and regulators ensuring appropriate cost allocation to protect ratepayers. Regarding water usage, Diorio asserted that data centers are highly efficient, consuming less water than manufacturing, food and beverage production, or the amount lost to leaks in water systems annually. The conversation also touched upon the future of energy for data centers, with small modular reactors being considered a "down the road discussion." Diorio addressed the challenge of data centers coexisting with smaller communities, framing them as an "essential economic development tool" for rural areas, creating significant economic value and supporting numerous jobs. He expressed concern about potential moratoriums, stating that while temporary by definition, they could have a "permanent effect" by signaling unpredictability to other industries. Finally, the interview delved into the framing of data centers as a national security issue, underscoring the importance of keeping data stored domestically.