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Regulatory Watch · Texas Directed

Texas governor directs TCEQ to pause data center permits

Status: Directed, 21 September 2026 · TCEQ update to the governor due: 19 October 2026 · Checked: 25 September 2026

Open question for a 1–5 MW expansion. TCEQ has not said publicly whether the pause reaches air or water authorizations for infrastructure supporting an existing facility’s expansion of a few megawatts. We are not treating smaller projects as either exempt or covered until TCEQ says so.

What changed

Governor Abbott directed the Texas Commission on Environmental Quality “to pause the issuance of all permits related to data center projects until ERCOT completes its review.” The letter sets no size threshold, does not define a data center project, and names no permit types.

A TCEQ spokesperson told Houston Public Media that the agency “has paused the issuance of all air and water permits and authorizations related to the construction or development of infrastructure directly supporting data centers.” TCEQ has not published an implementation notice.

Separate from ERCOT’s actions

Two ERCOT processes are also under way. They have their own thresholds.

  • Energization pause, 75 MW and up. ERCOT has stopped granting approvals to energize data center and crypto-mining “Large Loads” (75 MW or more) in its Batch Zero process until its verification is complete. ERCOT says loads of 25 MW to under 75 MW are not affected and continue to connect through their utilities.
  • Information request, 25 MW and up. ERCOT’s community impact request covers developers of data centers of 25 MW or more that have not yet energized. Responses are due 12 October 2026, and ERCOT and the PUC plan a report on or before 10 December 2026.

Neither date is a date on which TCEQ permits restart.

If you are planning a Texas addition, check

  1. Which TCEQ authorizations the addition needs: an air permit or registration (for example, for generator engines), a permit by rule, or a water or stormwater authorization. Ask TCEQ in writing whether each is on hold.
  2. Where your site’s load sits against ERCOT’s 75 MW and 25 MW thresholds. Your transmission or distribution utility reports your load to ERCOT.
  3. TCEQ’s 19 October update to the governor, which may say more about scope.

What we can and cannot conclude yet

TCEQ has not said publicly:

  • whether the pause reaches air or water authorizations for infrastructure supporting an existing facility’s expansion of a few megawatts;
  • whether applications can still be filed and reviewed while issuance is paused;
  • whether any size threshold applies;
  • when the pause ends. The governor’s letter ties it to ERCOT completing its review, not to a date.

Primary source

Government source. Governor’s letter to TCEQ Executive Director Kelly Keel, 21 September 2026 (PDF), and the governor’s announcement.

Supporting: Grid operator source. ERCOT’s filing at the PUC, 10 August 2026 (PDF, energization pause and 75 MW definition); Grid operator source. ERCOT presentation to the PUC, 20 August 2026 (PDF, loads under 75 MW); Grid operator source. ERCOT Data Center Impact RFI (25 MW, 12 October and 10 December dates).