Gov. Greg Abbott is calling on Texas energy regulators to protect residents from the cost of expanding electric infrastructure for large data centers, even as the state continues responding to severe weather and flooding concerns across more than 100 counties.
Abbott directed the Public Utility Commission of Texas and the Electric Reliability Council of Texas to develop recommendations aimed at preventing residential customers from paying for infrastructure needed by large data centers, including facilities tied to the rapid growth of artificial intelligence.
The governor’s office said data centers should be responsible for the electric infrastructure required to serve their operations. Abbott also called for recommendations on reducing residential transmission costs and asked regulators to examine ways to better manage the industry’s rapid expansion.
The push comes as Texas sees growing demand from large electricity users. State regulators approved a new framework this week that would allow ERCOT to study large-load projects together, helping the grid operator assess future power demand, available grid capacity and needed transmission upgrades.
The issue has become a growing political and infrastructure debate in Texas. Supporters of the data center boom say the projects can bring investment, jobs and new tax revenue. Critics have raised concerns about the amount of electricity and water the facilities require, as well as the potential effect on utility bills, rural communities and the state’s power grid.
Abbott has also said he wants lawmakers to consider requiring data centers to use more water-efficient cooling systems, report electricity and water usage more accurately, phase out outdated tax incentives and adopt practices aimed at reducing noise and other effects on nearby communities.
The debate over data centers comes as Texas continues emergency operations related to severe weather. Abbott issued a disaster declaration for 101 counties because of storms and flood risks affecting large parts of the state.
The declaration allows local governments to access state resources and coordinate more closely with emergency management officials. Counties included in the declaration span Southeast, Central and South Texas, including Harris, Fort Bend, Montgomery, Galveston, Brazoria, Bexar, Travis, Hidalgo, Cameron and Webb counties.
Abbott urged Texans to monitor local forecasts, avoid flooded roads and follow instructions from local officials. The Texas Division of Emergency Management also activated additional emergency response resources and moved the State Emergency Operations Center into 24-hour operations as storms continued.
For Houston and the Gulf Coast, officials and residents are watching for repeated rounds of rain, flash flooding and high winds. The weather threat adds pressure to communities already dealing with drainage problems, flood-prone roadways and recovery from previous storms.
Both developments highlight some of the state’s most pressing infrastructure challenges: how Texas manages its growing demand for electricity while also responding to weather events that continue to test local governments, emergency responders and residents across the state.