Texas Governor Greg Abbott halts approval of new data center projects pending grid audit, citing 474 GW of pending electrical interconnection requests and grid reliability constraints.

Texas Governor Greg Abbott has ordered a pause on approvals for new data centers to prevent overloading the state's power grid amid surging demand from artificial intelligence facilities. Data centers currently account for 90% of the state's pending power demand, presenting a significant strain on grid infrastructure.

The move reflects growing concerns about the state's ability to support continued expansion in the AI sector. While artificial intelligence development is recognized as crucial for economic growth, officials emphasize that infrastructure development must proceed responsibly to protect residents and ensure grid stability.