More data center companies support Texas audits as President Trump criticizes pause

Texas Governor Greg Abbott has issued a directive for a comprehensive audit of data center projects across the state. This order requires the Public Utility Commission and ERCOT to temporarily cease approving new data center connections to the state's power grid until the audit is completed. The review aims to assess the resources data centers consume, the tax incentives they receive, and their plans to minimize impact on local communities.

Following the directive, several data center companies, including Skybox, Digital Realty, and Marathon, have publicly announced their support for the audits, with QTS also backing the initiative. Kirk Offill of Overwatch Mission Critical, a data center staffing company, suggested that compliant operators would not be concerned by the reviews, unlike those cutting corners.

In contrast, the Texas House Democratic Campaign Committee has urged Governor Abbott to call a special session of the legislature and issue an executive order to halt data center development entirely, arguing that only he has the authority to protect the state's residents. A spokesperson for the Governor's office responded by stating that the current approach is effective and that data centers are complying with established guidelines.

Former President Donald Trump, in an interview with Punch Bowl News, expressed his view that Texas is making a mistake by pausing data center development. He highlighted the significant economic investment and job creation these facilities bring, suggesting they could be more impactful than the oil industry for the state. Despite Trump's strong support for data centers, his administration previously launched the Ratepayer Protection Pledge to encourage companies to fund their own energy infrastructure, a pledge that Governor Abbott also signed.