Texas — Governor Abbott Directive: Freeze on New Data Center Grid Connections Pending Comprehensive Audit (August 3, 2026)

On August 3, 2026, Governor Greg Abbott issued a directive to the Public Utility Commission of Texas and ERCOT (the state's grid operator) freezing all pending approvals for data centers seeking connections to the Texas power grid until a comprehensive audit is complete. Every project in ERCOT's interconnection queue must now disclose: what tax incentives, grants, or abatements it has received or expects to receive; how much power it will use and whether it is generating any of its own electricity; how much water it will consume, where it comes from, and what cooling technology will be used; what steps it is taking to reduce noise, traffic, and other community impacts; and ownership of the facility. Any project that fails to comply or meet PUCT, ERCOT, or state requirements must be denied a grid connection. ERCOT had more than 1,800 projects in its queue representing over 474 gigawatts of requested capacity — roughly five times ERCOT's record peak demand — with approximately 90 percent being data centers.

Technical detail

Gubernatorial directive (not a statute or executive order) issued August 3, 2026 by Gov. Greg Abbott to PUCT and ERCOT. Core requirements: (a) suspension of processing for all pending data center grid interconnection requests until individual grid-impact assessments are complete; (b) mandatory pre-connection audit requiring each project to disclose (1) tax incentives/grants/abatements received or expected, (2) power demand and any self-generation capacity, (3) water consumption, sourcing, and cooling technology, (4) community impact mitigation measures (noise, traffic, other), and (5) facility ownership; (c) denial of grid connection to any project failing to comply with PUCT, ERCOT, or state requirements. ERCOT implementing by suspending Batch Zero transmission planning study. PUCT Chair Gleeson issued Aug. 3 statement confirming implementation. ERCOT queue context: 1,800+ projects, 474+ GW requested (~5× record peak demand), ~90% data centers. Note: this is a regulatory directive, not a statute; legal authority contested — Texas Policy Research published analysis questioning executive authority to bind ERCOT as an independent grid operator. No statutory sunset; directive can be rescinded or superseded by subsequent gubernatorial action or PUCT rulemaking.

Who is protected: Texas electricity ratepayers and communities near proposed data centers from unchecked grid-load additions

Who must comply: Data center developers with pending ERCOT interconnection requests; PUCT and ERCOT (implementing agencies)

Key facts

More AI rules in Texas

• TX TDI Bulletin B-0003-26 (AI in insurance) · In effect
• Texas SB 6 (Data Center Grid Law) · In effect
• TX SB 2205 (2017 AV statute) · In effect
• TX HB 912 (2013 drone privacy) · In effect
• TX HB 2700 — AI/Altered CSAM · In effect
• TX SB 1361 — Deepfake Intimate Video · In effect

Related data-center siting and energy rules elsewhere

• Superior WI Data Center Moratorium (1-year) · In effect
• Dane County WI Hyperscale Data Center Moratorium · In effect
• Madison WI Data Center Moratorium (1-year) · In effect
• Manitowoc County WI Data Center Moratorium · In effect
• WA SB 5982 (Data Center / Clean Energy) · In effect
• Dayton OH data center moratorium (180-day, Apr 2026) · In effect