Data Center Company Says It Will Comply With New Texas Rules
Quality Technology Services (QTS) has committed to complying with new data center guidelines in Texas, pushed by Governor Greg Abbott. These rules aim to protect Texans from project costs, requiring data centers to cover electric infrastructure costs, reuse water, and reduce electricity costs. Conversely, Diode Ventures announced it would not pursue projects in Texas due to these new standards.
Last week, it was announced that planned data center construction by Quality Technology Services (QTS) will adhere to a new set of guidelines put forth by Texas Governor Greg Abbott. These regulations are designed to protect Texas residents from potential costs associated with data center projects, following a recent increase in public concern regarding these developments.
Governor Abbott's directives include requiring state regulators to ensure data centers bear their own electric infrastructure costs, implement closed-loop water reuse systems, and contribute to reducing electricity costs for local residents. QTS has publicly committed to funding its own energy needs, thus avoiding passing these expenses onto consumers, and asserts its data centers operate without water once operational.
In contrast, Diode Ventures, another data center firm, has declared its decision to withdraw from pursuing any projects within Texas. The company cited its unwillingness to comply with the state's newly established standards as the reason for its departure.