Governor Greg Abbott’s September 21 directive directing the Texas Commission on Environmental Quality to halt all data center permits until the Electric Reliability Council of Texas completes its audit has created a de facto statewide pause, building on his August 3 grid-interconnection freeze. This stems from an ERCOT queue exceeding 470 GW—roughly 90% data centers and five times peak demand—raising concerns over grid reliability, water consumption, and electricity costs for residents. The pause affects nearly 50 GW of projects, or about 20% of the U.S. pipeline, with the ERCOT report due December 10 and a TCEQ compliance update scheduled for October 19. Abbott has also signaled plans to eliminate incentives in the 2027 legislative session, shifting trader focus toward whether the current measures evolve into a formal, longer-term moratorium.