Texas lawmakers weigh impacts of data centers and transmission lines

News Clip2:45KVUE·TX·8/19/2026

Texas lawmakers are deliberating the impacts of data centers and proposed transmission lines following Governor Abbott's directive to pause data center grid approvals. Texans voiced concerns about power grid strain, water usage, noise, and air pollution. Meanwhile, the city of San Marcos has prohibited new data centers, and QTS offered to cover its own electric infrastructure costs.

oppositiongovernmentelectricitywaterzoningenvironmentalmoratorium
QTS
Gov: Texas Governor Greg Abbott, House Committee on State Affairs, PUC, ERCOT

Texans gathered from across the state to voice their opposition during a hearing before the House Committee on State Affairs, which is discussing proposed 765-kilovolt transmission lines and the proliferation of data center projects throughout Texas.

Earlier this month, Governor Greg Abbott directed the Public Utility Commission (PUC) and ERCOT to temporarily halt approvals for data centers to connect to the state's power grid. This pause is pending further information from companies regarding their power and water usage. State lawmakers are exploring regulations to safeguard Texas communities and its power grid while still permitting responsible development. QTS, a data center company, expressed support for Governor Abbott's directive, emphasizing transparency and stating its willingness to cover the full costs of its electric infrastructure to avoid burdening Texas ratepayers.

Ahead of the hearing, opponents of data centers held a rally at the Capitol, citing concerns over increased strain on the power grid, air pollution, noise, and water consumption. While some cities, such as San Marcos, have taken decisive action by prohibiting new data centers in all zoning districts, many local leaders feel they lack sufficient authority to make optimal land use decisions for their communities.

Concurrently, lawmakers are also debating a proposed 200-mile network of 765-kilovolt transmission lines across central Texas. Supporters argue the project is crucial for strengthening the state's electric grid and meeting growing energy demands, particularly in the Permian Basin, while opponents fear permanent impacts on private property and rural areas. The PUC has yet to issue a final decision on this transmission line project.