Texas Governor Greg Abbott on Monday directed the state's environmental regulator to pause all data center-related permits. This expands an August moratorium on new data center grid approvals, which will now include environmental approvals through the Texas Commission on Environmental Quality (TCEQ). The halt is in effect until the Electric Reliability Council of Texas completes an audit of existing data center grid connection waitlists. The move could slow Texas's progress toward surpassing Virginia as the world's largest data center market by the end of the decade. Data center buildout has become a key issue in the 2026 midterm elections, with a recent NBC News poll indicating 64% of Americans would be less likely to vote for candidates supporting local data centers. Abbott's office stated he would work with the Legislature to eliminate financial incentives for data centers in the next