Texas Gov. Greg Abbott effectively pauses new data center projects pending statewide grid audit

This material may not be published, broadcast, rewritten, or redistributed. ©2026 FOX News Network, LLC. All rights reserved. Quotes displayed in real-time or delayed by at least 15 minutes. Market data provided by Factset. Powered and implemented by FactSet Digital Solutions. Legal Statement. Mutual Fund and ETF data provided by LSEG. A growing fight is brewing nationwide as the rapid expansion of data centers pits Big Tech against local homeowners, raising concerns about transparency, power demand, diesel generator pollution and rising electricity prices. Texas Gov. Greg Abbott has ordered state regulators to audit pending data center projects seeking connections to the state's electric grid, a move ERCOT says effectively pauses those projects as Texas grapples with soaring electricity demand driven by artificial intelligence infrastructure. Abbott on Monday directed the Public Utility Commission of Texas and the Electric Reliability Council of Texas (ERCOT) to review pending data center projects and deny grid connection requests for facilities that fail to meet state requirements. ERCOT told Fox News Digital the governor's directive "effectively pauses all data center projects."