Abbott: Data centers must pay own infrastructure costs
Texas Governor Greg Abbott is proposing new regulatory recommendations to ensure data centers cover their own infrastructure costs, preventing the burden from falling on residential taxpayers. He plans to collaborate with the Legislature to enact these protections. The governor also emphasized responsible water usage and community consideration by data centers.
Texas Governor Greg Abbott has instructed electric utility companies to ensure that residential taxpayers in Texas are not burdened with the infrastructure costs associated with data center expansions. This directive comes as Texas faces a surge in artificial intelligence-driven development, prompting the governor to outline new regulatory recommendations.
Abbott pledged to collaborate with the Texas Legislature during the upcoming session to establish these protections. The goal is to ensure that data centers contribute positively to the state's electric capacity rather than merely escalating demand.
Governor Abbott emphasized that data centers must operate in a manner that reduces costs for residential electricity customers, preserves water resources for communities, and takes into consideration the needs of neighborhoods.