Austin, Texas — Gov. Greg Abbott says dozens of technology companies have agreed to tougher standards for data center development after Texas temporarily halted approvals for projects seeking connections to the state power grid.
The pause affects an interconnection queue containing more than 1,800 projects representing about 474 gigawatts of proposed electricity demand — more than five times Texas’ record peak demand. Abbott said roughly 90% of those requests involve data centers.
Under Abbott’s directives, regulators must audit proposed projects before approving grid connections. Developers must disclose information about electricity and water use, ownership, tax incentives and measures intended to limit impacts on surrounding communities. Projects failing the review can be denied access to the grid.
Abbott also wants developers to pay infrastructure costs rather than shifting them to other electricity customers, conserve water and avoid disrupting residential areas. Reuters reported that the pause has created uncertainty for developers that have already committed substantial deposits toward grid connections.
Companies including Amazon, Google, Microsoft, Oracle, Equinix and Core Scientific have publicly supported stronger development standards, according to The Center Square.
Texas has at least 335 operating data centers, with hundreds more proposed as artificial intelligence drives rapidly increasing electricity demand.
Sources
Discover more from News Facts Network
Subscribe to get the latest posts sent to your email.
