Gina Hinojosa won the governor's race. What happens to Texas data centers now?
Texas Gov.-elect Gina Hinojosa has pledged to impose a moratorium on new data center approvals until the Legislature adopts protections for communities. The proposed pause would address concerns about grid strain, water consumption, tax incentives, environmental permitting and local control, while extending restrictions already imposed by Gov. Greg Abbott.
Gov.-elect Gina Hinojosa has promised to ban new data center approvals in Texas until lawmakers pass regulations addressing the facilities’ impacts. Her proposed moratorium would remain in place while the Legislature considers requirements involving water protection, electricity costs, union labor, nondisclosure agreements and tax subsidies.
The pledge comes amid growing opposition across Texas over projected power demand, drought-related water concerns and limited local authority over data center development. Gov. Greg Abbott has already paused some grid and environmental approvals while state agencies conduct audits, although advocates said some permits were approved despite the restrictions. Industry representatives, including Data Center Coalition government affairs director Jess Heck, said data centers can support jobs, investment and tax revenue while working with officials on responsible growth.