Escalation: Abbott Pauses Data Center Approvals

Gov. Greg Abbott ordered a pause on approvals for new data centers to connect to the Texas grid until a comprehensive audit is finished by the Public Utility Commission of Texas and the Electric Reliability Council of Texas, which runs the grid. The directive sets no timeline. Projects that do not meet the resulting requirements must be denied connection.

The grid operator is reviewing roughly 474 gigawatts of new load requests, about 90% from data centers, more than five times Texas’ record peak demand. It is tracking over 1,800 projects in the queue. In response to the order, ERCOT will postpone its initial “Batch Zero” transmission planning study, the first cohort review under new rules.

The audit will collect details on each project’s financing and any tax breaks, expected power use and plans for on‑site generation to cut reliance on the grid, water use and reuse or other cooling, measures to limit noise, light and traffic and coordinate emergency response, and ownership and controlling interests. The pause applies to facilities seeking to join the ERCOT grid.

AI-synthesized from multiple reported sources