Governor Abbott Directs TWDB To Penalize Data Center Reporting Failures
Governor Greg Abbott has directed the Texas Water Development Board (TWDB) to enforce water use reporting requirements for major water users, including data centers. The directive mandates penalties for past and future failures to comply with state law, citing potential civil and criminal violations. TWDB is also tasked with collaborating with ERCOT on an audit of data centers' water consumption.
Texas Governor Greg Abbott has issued a directive to the Texas Water Development Board (TWDB), compelling the agency to enforce existing water use reporting requirements for major water users, including data centers. The Governor emphasized that these entities must comply with state law, which includes providing complete and accurate water use surveys, and has instructed the TWDB to impose legal consequences for any past or future non-compliance.
The directive highlights that failure to provide required water usage information may constitute civil and criminal violations, and non-compliant data centers could be deemed ineligible for permits, amendments, or renewals from the Texas Commission on Environmental Quality (TCEQ). The TWDB is instructed to refer such cases to appropriate County or District Attorneys.
Furthermore, Governor Abbott has directed the TWDB to partner with the Electric Reliability Council of Texas (ERCOT) to audit data centers for detailed information on water consumption, sources, and water-efficient technologies. This collaboration follows an earlier directive to the Public Utility Commission of Texas (PUCT) and ERCOT regarding a comprehensive audit of data centers in ERCOT's interconnection process, where failure to complete the audit will result in denied interconnection.
The Governor's office requires the TWDB to provide updates on its enforcement activities by October 14, 2026, and subsequent progress reports, underscoring the state's commitment to protecting Texas's water resources amidst growing demands from the data center industry.