Data center boom enters Texas governor’s race as Meta builds $14B El Paso campus

News Clip3:29KFOX14·El Paso, El Paso County, TX·9/1/2026

The rapid expansion of data centers in Texas, including Meta's El Paso campus, is a key issue in the gubernatorial race. Governor Greg Abbott has paused new data center approvals, requiring audits by ERCOT and the Public Utility Commission, while challenger Gina Hinojosa advocates for stronger regulations. Concerns revolve around electricity usage, water demand, and local community impacts.

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Meta
Gov: Texas Governor's Office, Electric Reliability Council of Texas, Public Utility Commission of Texas

The rapid expansion of data centers across Texas, particularly Meta's massive $14 billion campus in northeast El Paso, has emerged as a key issue in the state's gubernatorial race. Governor Greg Abbott has ordered a halt to new data center approvals, directing the Electric Reliability Council of Texas (ERCOT) and the Public Utility Commission (PUC) to undertake audits of proposed facilities. This review will assess power and water usage, the provision of self-generated power, water reuse, and plans to limit noise, traffic, and other community impacts. New data centers must now be audited by these state agencies before receiving final approval.

Democratic gubernatorial challenger Gina Hinojosa, during a campaign stop in El Paso, criticized the current lack of strong regulations for projects already underway. She advocated for an emergency legislative session to address the issue and ensure community members' concerns are heard. Hinojosa also pledged that if elected, she would review existing contracts that might jeopardize local water supplies for residents, highlighting water as a primary concern.

The debate reflects growing concerns among Texans regarding the strain on the power grid, significant water consumption, and local tax breaks offered to these large-scale developments. Residents of El Paso, in particular, have voiced worries about water and electricity demand, noise, and the broader effects on their communities. Both candidates have expressed a commitment to addressing these issues, with the governor's office emphasizing grid security and Hinojosa calling for comprehensive legislative action.