Texas' next governor, Gina Hinojosa, has called for a longer data center moratorium in the state, followed by tighter regulation. The Democratic governor-elect wants to extend an existing de facto moratorium introduced by outgoing Republican Governor Greg Abbott, a policy she described as "a scam."

Governor-Elect Calls for Longer Moratorium After Abbott's Audit Pause

Abbott was historically pro-data center, but amid record grid applications and growing anti-data center public sentiment, he began looking to limit the sector. In August, Abbott directed the Public Utility Commission of Texas (PUCT) and the Electric Reliability Council of Texas (ERCOT) to undertake a comprehensive audit of all data center projects currently advancing through ERCOT's interconnection process. The following month, Abbott halted all new data center permits from the state's environmental agency until the audit is completed.

The industry was caught off guard. "We weren't really expecting it," Raul Martynek, CEO of Dallas-based data center developer DataBank, said at the time. "The governor is addressing what you're seeing in the country with pushback on data centers, and the fact that it is election season may have something to do with this because, from an issue perspective, it's top of mind for voters."

ERCOT has said that it expects the review to end in December, but Hinojosa has claimed that the election-gambit will be reversed. "A temporary moratorium is a scam because Abbott will likely lift it on November 4th, right after the election," she said ahead of the election. As of the report's publication, this has not yet happened. "The only way Texans are protected is when real laws are passed."

Special Session Demand and 'Texans First Data Center Priorities'

Hinojosa has instead called for "an immediate moratorium on data centers to last until the legislature can meet to put in place real protections so Texans can have a seat at the table to decide if and how data centers come into their communities."

Ahead of the election, she added: "To show good faith after inviting data centers to Texas, Abbott must call a special session now. Otherwise, no one believes the arsonist will put out the fire."

Hinojosa has outlined what she calls 'Texans First Data Center Priorities,' which will likely include what she hopes to pass following the moratorium. Under her proposals, data center projects would be required to create American union jobs, data center companies would be stopped from using NDAs, companies would have to prove households won't pay more for electricity or water, subsidies would be stopped, and any water contract with data centers would be unenforceable if it threatens a community's water supply.

Most critically, the priorities would give local communities the right to vote on data center projects.

Campaign Against Data Center Projects

Hinojosa campaigned against data center projects, holding a press conference in Red Oak, where Diode Ventures plans to build an 800-acre, 900MW facility. Diode has since withdrawn a data center proposal in Henderson, Texas.

"The people of Texas are being taken advantage of, in a big way, by corporations who are operating under no rules," Hinojosa said in July. "Data centers are coming in and doing as they please; they are guzzling up all our water, guzzling up all our electricity, and the people have no say. They have no power. That is the Wild West of data centers that Greg Abbott has created in Texas. People need relief."

Anti-Data Center Sentiment Beyond Texas

The governor-elect's stance reflects broader sentiment across the United States. In votes across the country, locals have voted overwhelmingly against data center projects and in favor of moratoriums. In exit polls, 56 percent of voters said AI data centers were a crucial or major factor in their congressional vote decision.

Your Shortcut to the Booming U.S. Data Center Market

What if you could see every hyperscale and colocation data center project in the United States before your competitors even know it exists? From multi-billion-dollar campuses in Virginia and Texas to edge facilities in secondary markets, the opportunity is vast, and the window to act on it is short.

Manually tracking permits, utility filings, and procurement announcements across dozens of states is slow, error-prone, and expensive. The Global Project Tracking (GPT) platform by Blackridge Research consolidates it all into a single intelligence feed, so your team can focus on winning business instead of hunting for leads.

Whether you supply cooling systems, power infrastructure, fiber connectivity, or construction services, timely project intelligence is the difference between being first to bid and arriving after the contract is signed.

• Upcoming Projects

• Tender Notices

• Contract Awards

• Projects Under Construction

• Completed Projects

Stop relying on fragmented news alerts and outdated databases. Book a Free Demo of the Global Project Tracking (GPT) platform by Blackridge Research today and see the entire U.S. data center pipeline at your fingertips.