Governor Abbott’s September 21 directive to the Texas Commission on Environmental Quality has effectively paused all state environmental permits for data centers until the Electric Reliability Council of Texas completes its ongoing audit of grid impacts, water use, and community effects, building on his August 3 order targeting the interconnection queue. The move responds to an enormous backlog exceeding 470 GW of proposed large-load projects—more than five times peak demand—raising concerns over reliability, rising residential bills, and water strain in a state that had aggressively courted AI and hyperscale facilities. Local jurisdictions have added targeted reviews or zoning limits, while the issue has become a flashpoint in the November midterm and gubernatorial races. The ERCOT report is due by mid-December, with a TCEQ compliance update expected October 19 and potential legislative action in 2027.