Texas Gov-Elect’s Proposed Data Center Freeze Impacts 34 GW Pipeline

Governor-elect Gina Hinojosa plans to stop the approval of new construction permits for AI facilities until the state passes legislation to protect rural communities from rising utility costs and water shortages. This proposed moratorium impacts a statewide development pipeline of approximately 34 GW. Hinojosa takes office on Jan. 19 and will move to establish a new regulatory framework during the 140-day legislative session running from January to May 2027.