Gov. Greg Abbott on September 14 directed the Texas Water Development Board to pursue legal consequences against data centers that fail to report their water use, escalating scrutiny of an industry facing opposition over resource demands, utility costs and transparency.
The Monday directive targets past and future reporting violations by major water users, including data centers.
“Data centers must share the duty to protect Texas water,” Abbott said.
The Reporting Failures Could Affect Water Permits
According to the governor’s office, recipients of the board’s water-use survey must complete and return it. Failure to comply can carry criminal consequences and make a data center ineligible for certain water permits, amendments or renewals under Chapter 11 of the Texas Water Code. Abbott instructed the board to refer violations to the appropriate county or district attorney and notify the Texas Commission on Environmental Quality about potential permit disqualification. The board must report its enforcement progress by October 14 and coordinate with electricity regulators to obtain information about data centers’ water consumption, supply sources and water-efficient technologies. The controversy extends beyond reporting requirements. Residents and elected officials have questioned whether large developments could strain water supplies and electricity infrastructure while advancing without sufficient public input. Concerns about secrecy have also emerged nationally. Abbott’s water directive follows his August 3 That order required verification of projects advancing through ERCOT’s interconnection process before they could move forward. Projects failing to comply would be denied a grid connection. The review seeks information about projected electricity and water consumption, ownership, public financial assistance and efforts to limit neighborhood impacts. It also examines whether developers will supply their own power or rely on ERCOT’s grid. At the time of the August announcement, Abbott’s office said ERCOT was considering more than 474 gigawatts of connection requests, approximately 90% from data centers. Those figures represent proposed demand, not electricity already being consumed. A September 1 Reuters Developers Cite Economic Benefits And Cooling Technology
Supporters point to construction work, tax revenue and the infrastructure needed for artificial intelligence and other digital services. Some developers have also announced designs intended to reduce pressure on local resources. In its Abilene campus expansion The company also outlined plans for battery storage and solar resources. Local officials quoted in the announcement highlighted anticipated economic activity and tax revenue for public services. Those commitments are specific to the Abilene project. Abbott’s broader audit seeks comparable disclosures from developers about cooling methods, water supplies and projected consumption, alongside measures addressing noise, lighting, traffic and emergency response.
Water, Secrecy And Local Control
Electricity Demand And Who Pays
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