Gov. Greg Abbott directs Texas environmental commission to halt all data center permits, office says

Gov. Greg Abbott directs Texas environmental commission to halt all data center permits, office says

News ClipABC13 Houston·TX·9/21/2026

Gov. Greg Abbott has directed the Texas Commission on Environmental Quality (TCEQ) to halt all data center permits until the Electric Reliability Council of Texas (ERCOT) completes an audit. This action is intended to ensure data center development does not compromise the electric grid or natural resources. The governor also reiterated previous directives regarding penalties for data centers that do not comply with state water laws.

governmentelectricitywatermoratorium
Gov: Gov. Greg Abbott, Texas Commission on Environmental Quality, Electric Reliability Council of Texas, Texas Water Development Board

Texas Governor Greg Abbott has issued a directive to the Texas Commission on Environmental Quality (TCEQ), ordering a halt to all new data center permits across the state. This pause will remain in effect until the Electric Reliability Council of Texas (ERCOT) finishes an audit of data centers.

According to the governor's office, the audit is crucial to ensure that the ongoing development of data centers does not jeopardize the reliability of the Texas electric grid or place the state's natural resources at risk. This directive follows a prior announcement from Governor Abbott calling for penalties against data centers that fail to adhere to state water laws.

The governor's office has outlined several requirements for data center projects, including that they must bear the full cost of their electrical infrastructure, avoid using water essential for local communities, report their electricity and water consumption, and successfully complete the ERCOT audit. "Texans must come first," Governor Abbott stated in a release, emphasizing that until these conditions are met, the TCEQ will not issue permits for data center projects.