Abbott suspends environmental permits for data centers in Texas — Jerusalem Post
Texas Governor Greg Abbott has instructed the Texas Commission on Environmental Quality not to issue new permits for data centers until regulators complete a large-scale audit of facilities seeking to connect to the state’s power grid. According to the Jerusalem Post, the decision effectively halts the issuance of all state permits for data center developers.
Audit of resource consumption
Last month, Abbott also suspended the connection of new data centers to Texas’ power grid and ordered an audit of such facilities. At the time of this decision, data center projects and other large consumers with a combined capacity of more than 470 gigawatts were in the connection queue. This is more than five times the state’s peak electricity demand.
The Electric Reliability Council of Texas, known as ERCOT and responsible for operating the state’s power grid, is at an early stage of the audit. The review covers data centers’ electricity consumption, tax incentives, and water use.
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The governor’s position
Abbott said that Texas residents should be the priority. According to him, data centers must cover their own costs, protect the state’s power grid and water resources, and complete the audit.
After the artificial intelligence boom began about three years ago, Texas became one of the world’s most dynamic hubs for data center development. At the same time, public criticism of such facilities has intensified over concerns about rising electricity bills and environmental issues. University of Houston energy expert Ed Hirs said that Abbott is moving away from his previous claims that data centers would lower electricity prices.
