Texas Governor-Elect Proposes Halt on New Data Center Approvals

Texas Governor-Elect Proposes Halt on New Data Center Approvals

News ClipWABC Radio·Austin, Travis County, TX·11/6/2026

Texas Gov.-elect Gina Hinojosa says she plans to temporarily halt approvals for new data centers until the Legislature adopts stronger regulations. Her proposed measures would address electricity costs, water consumption, community oversight, tax incentives and local hiring.

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Gov: Texas Legislature, Office of the Governor of Texas

Texas Gov.-elect Gina Hinojosa is proposing a temporary suspension of approvals for new data centers until the Texas Legislature establishes stronger rules governing the industry. She said large facilities can impose significant electricity and water demands while giving local communities too little influence over development decisions.

Hinojosa’s proposed regulations would address energy costs, water use and transparency for proposed projects. She also supports ending some tax incentives for data center companies and requiring stronger commitments to hire local workers, a policy that could affect billions of dollars in planned technology investment across Texas.