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Texas Pauses Data Center Permits as Abbott Expands Grid and Water Review

  • Infra & Chips
  • Policy & Regulation

Texas Governor Greg Abbott has ordered the Texas Commission on Environmental Quality to stop issuing permits for data centers until state agencies finish reviewing the sector's effects on the power grid, water use and local communities. The move widens an earlier pause on grid approvals and puts one of the United States' fastest-growing AI infrastructure markets under a broader state-level permitting freeze.

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