Texas’ Data Center Fight Reaches Westlake as Keller Neighbors Protest 87-Acre Campus
The Westlake Planning and Zoning Commission recommended approval for a PowerHouse Data Centers project despite significant opposition from Keller residents. This decision comes as Texas communities increasingly challenge data center developments and Governor Greg Abbott orders an audit of proposed projects due to concerns about electricity demand. Separately, Fort Worth is considering a temporary moratorium on new data center applications to develop stricter zoning regulations.
A recent zoning meeting in Westlake, Texas, became a focal point for the intensifying conflict between Texas communities and data center development. The Westlake Planning and Zoning Commission, after a contentious session attended by over 100 people, primarily residents from neighboring Keller, voted unanimously to recommend the approval of a controversial project by PowerHouse Data Centers. The proposed four-building campus, spanning nearly 90 acres along U.S. Highway 377, sparked objections mainly from Keller residents who expressed concerns about its proximity to their homes, accusing Westlake leaders of displacing negative impacts onto an adjacent community without authority over the development. Westlake officials defended the project, citing careful evaluation and long-term tax revenue benefits with minimal impact.
The broader statewide trend of community resistance against data center expansion is highlighted by various examples, including the withdrawal of a Diode Ventures project near Cedar Creek Reservoir due to water consumption and location concerns. This increasing scrutiny has prompted state leadership to act; Governor Greg Abbott recently directed the Public Utility Commission of Texas (PUCT) and ERCOT to conduct a comprehensive audit of all proposed data center projects seeking grid connections. Abbott cited concerns over the "unprecedented volume of electricity demand," emphasizing that projects failing to meet state requirements would be denied connection to protect Texans' quality of life. Data centers currently represent approximately 90% of the 474 gigawatts in new power requests under ERCOT's consideration.
At the local level, Fort Worth is contemplating a temporary moratorium on new data center applications to allow time for developing stricter zoning regulations concerning setbacks, buffering, and compatibility. The Fort Worth City Council is slated to consider initiating this moratorium process on August 11, which, if approved, would pause new applications while enhanced regulations are formulated.