President Donald Trump expressed disapproval of Texas's decision to pause approvals for new data centers, stating it could hinder economic growth. In an interview with Punchbowl News, he remarked that the industry has the potential to surpass oil in significance, emphasizing the financial benefits for communities that welcome such projects.
The pause, announced by Governor Greg Abbott, halts approvals for data centers connecting to the ERCOT grid until state agencies complete audits. These audits aim to evaluate tax incentives, power and water usage, and the overall impact on local communities.
Abbott's office indicated that the pause was necessary due to a lack of information from the industry, noting that fewer than 10 percent of data centers had provided the required usage data.
ERCOT is currently managing over 1,800 projects seeking connection, which collectively demand more than 474 gigawatts of capacity, significantly exceeding the grid's peak demand. Projections suggest that water usage by data centers in Texas could reach between 29 billion and 161 billion gallons annually by 2030. As of now, neither the governor's office nor the White House has signaled any changes to the current order.
Aubrey is about 38 miles north of Dallas.
