Anti-data center week of action scheduled in Texas, first rally in Austin Monday

Anti-data center week of action scheduled in Texas, first rally in Austin Monday

News ClipThe Center Square·Austin, Travis County, TX·7/27/2026

Grassroots organizations in Texas are holding a "week of action" to protest data center expansion, citing concerns about environmental harm, water usage, and strain on the electric grid. They are urging Governor Abbott and state lawmakers to enact a moratorium on development and repeal tax exemptions for data centers. Governor Abbott has already issued a directive requiring data centers to pay for infrastructure costs and adopt water-efficient and noise-reducing technologies, leading one company, Diode, to withdraw its project.

oppositiongovernmentelectricitywatermoratoriumzoningenvironmental
Gov: Texas Senate Finance Committee, Texas Senate Business and Commerce Committee, Gov. Greg Abbott, Public Utilities Commission, Electric Reliability Council of Texas, Texas Legislature

A 'week of action' is underway across Texas, organized by grassroots groups including Alliance for a Clean Texas (ACT) and Public Citizen-Texas, to oppose the rapid expansion of data centers. These groups are staging rallies, protests, and public meetings, advocating for legislative reforms to address concerns about environmental impact, water consumption, and strain on the state's electric grid.

The initial rally took place in Austin ahead of state legislative hearings. The Texas Senate Finance Committee held a hearing to discuss current policies, including tax exemptions and the allocation of electrical infrastructure costs, while the Senate Business and Commerce Committee is set to examine the broader impact of data centers on the Texas grid and electric demand.

The protesting organizations have called on Governor Greg Abbott to convene a special legislative session to impose a moratorium on data center development and to repeal sales tax exemptions and other incentives. Governor Abbott previously issued a directive requiring data centers to cover all electric infrastructure costs, avoid passing costs to ratepayers, implement water-efficient cooling systems, reduce community impacts through noise-reduction technology, and submit yearly electricity and water usage reports to the Public Utilities Commission (PUC).

Following Abbott's directive, Diode, a data center company in East Texas, withdrew its project, stating it could not meet the new requirements. The opposition groups also highlight that while cities possess zoning authority to regulate data center proposals, counties generally do not, underscoring the need for statewide legislative action to manage data center growth.