Texas, yes Texas, puts limits on data centers

Texas has set limits on data center projects to ensure the safety and quality of life for its residents. The state's grid operator, ERCOT, currently has 1,800 projects awaiting approval, with around 90% of them being data centers. These projects would require a massive 474 gigawatts of electricity, significantly exceeding the grid's peak capacity. Governor Abbott emphasized that any project not complying with PUCT, ERCOT, and state law will be denied grid connection.

The state has faced power outages in recent years, including a major crisis in 2021. Texas hosts over 500 data centers, second only to Virginia. The issue stems from a regulatory loophole that allowed companies to build energy-intensive facilities without public notice, as reported by Wired. This has led to communities feeling blindsided by sudden construction, with numerous coalitions advocating for a statewide moratorium on data centers.

Environmental advocate Erin Brockovich documented more than 1,300 residential complaints related to data centers, more than double the number in the next highest state, Pennsylvania. Sulphur Springs, Texas, home to a controversial data center campus project, has received nearly 400 complaints. The new audit process will require developers to submit plans for community protection, including noise mitigation, light controls, traffic improvements, and emergency response coordination, recognizing each community's uniqueness.