Texas Gov. Abbott calls for regulations on data centers, contrasting previous stance

Texas Gov. Greg Abbott on Wednesday called for sweeping regulations on data centers to be passed by the legislature in the 2027 session. It's a change in stance for Abbott, who previously worked to make Texas the epicenter of the data center buildout.Abbott letter on data centersIn a letter to the Public Utilities Commission of Texas and the Electric Reliability Council of Texas, Abbot laid out his ideas to hold data centers accountable and ensure the costs of their growth are not passed on to taxpayers.Abbott called for new centers to add power generation to the state's power grid while paying for their own infrastructure costs and connection to the grid. The letter also calls for the mandated use of closed-loop water systems and annual reporting on electricity and water use by data centers.The governor is also calling on lawmakers to repeal sales tax exemptions and "other outdated or unnecessary incentives" for data centers. Data centers would also be required to consider the communi