Texas Governor Greg Abbott has ordered a review of proposed new data centers in the state due to concerns about their significant power and water consumption. The Public Utility Commission of Texas and the Electric Reliability Council of Texas will collect data on ownership, finances, power needs, and environmental impact. This action comes as Texas already hosts over 500 data centers, with new requests for grid connection exceeding 474 gigawatts, a substantial portion of which is attributed to data centers, raising fears about grid stability. AI
IMPACT Potential for increased regulatory scrutiny and resource allocation challenges for AI infrastructure development in Texas.
RANK_REASON State-level policy action regarding infrastructure and resource allocation. [lever_c_demoted from significant: ic=1 ai=0.4]
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