Texas sets new rules for data center development

News Clip0:28CBS19·TX·8/13/2026

Governor Greg Abbott has announced new state guidelines for data center development in Texas. Several major data center companies have agreed to follow these rules, which aim to protect the power grid and local communities. Regulators will now audit applicants based on electricity demand, water use, and neighborhood impact before approving new projects.

governmentelectricitywater
Gov: Governor Greg Abbott, Texas State Regulators

Governor Greg Abbott announced that major data center companies in Texas have agreed to adhere to new state guidelines designed to safeguard the power grid and local communities. This initiative follows an order from Governor Abbott to review proposed data center projects, focusing on their potential impact on electricity demand, water consumption, and surrounding neighborhoods.

Going forward, state regulators will conduct audits of applicants before approving any new data center developments in the Lone Star State. These measures are intended to ensure that future projects are sustainable and do not unduly strain state resources or impact residents.