In an interview released Friday, President Donald Trump expressed his disagreement with Texas's decision to pause new data center approvals, stating it could hinder economic growth. He emphasized the industry's potential, comparing it to Texas's oil sector, and noted that data centers are crucial for community economics.
The pause was announced by Governor Greg Abbott in a letter to state utility officials, aiming to halt approvals until audits are conducted. These audits will evaluate various factors including tax incentives and resource consumption. Abbott's spokesperson indicated that fewer than 10 percent of data centers had provided necessary information regarding power and water usage, leading to the decision.
ERCOT is currently managing over 1,800 projects seeking connection, which represent over 474 gigawatts of capacity—significantly exceeding the grid's peak demand. Abbott's office has not indicated any changes to the pause, which does not affect projects that generate their own power. The projected water usage for data centers in Texas could reach up to 161 billion gallons annually by 2030.
Fort Worth is about 31 miles west of Dallas.
