Texas Data Centers Threaten Air Quality Gains

A new report warns that surging data center development could significantly increase nitrogen oxide emissions by 2031.

Updated on Oct. 25, 2026 in Data Centers

Texas Data Centers Threaten Air Quality Gains

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Should Texas prioritize stricter air quality regulations for new data center developments in your area?

A report from the Houston Advanced Research Center highlights that Texas may face a surge in nitrogen oxide emissions as new data centers bypass grid connections. Governor Greg Abbott has responded by halting new data center connections to the state power grid while audits are conducted.

Why it matters

Data center operators are increasingly opting for on-site natural gas power generation to avoid multi-year grid connection delays, a move that could jeopardize decades of state air quality improvements. This shift threatens to reverse progress made on nitrogen oxide levels if traditional energy sources are prioritized.

There are at least 288 planned data center projects in Texas requesting a combined 439 gigawatts of power. On-site natural gas engines used by these facilities emit approximately four times as much nitrogen oxide as grid-provided power.

The players

Houston Advanced Research Center

This independent research organization provides data and analysis concerning air quality and environmental sustainability in Texas.

Greg Abbott

As the Governor of Texas, he oversees state infrastructure and has implemented a pause on new data center connections to the power grid.

Electric Reliability Council of Texas

This entity manages the flow of electric power to more than 26 million Texas customers and handles connection requests for large-scale energy users.

The details

The Electric Reliability Council of Texas has processed over 500 requests for large power connections in the last two years, with individual facility demand ranging from 5 to 11,000 megawatts. Because grid connection wait times stretch from three to five years, developers are deploying on-site energy systems to expedite operations.

2002 serves as the baseline year for state air pollutant reduction measurements.
2024 marks the end of the period showing historical air quality improvements.
2031 is the projected timeframe for potential spikes in nitrogen oxide emissions.

The Tech Race

This development follows a pattern set by the Clean Air Act, which has historically regulated industrial emissions to protect public health. The surge in on-site generation marks a potential departure from the emissions reduction trajectory fostered by federal and state air standards.

Increased nitrogen oxide and volatile organic compound emissions could lead to worsened air quality in major metros like Dallas-Fort Worth, Austin, and San Antonio. Residents may face stricter local air quality advisories or health warnings if emission projections are realized by 2031.

The takeaway

The rapid expansion of the digital economy requires significant energy, but it should not come at the cost of public health gains. Balancing the power needs of these facilities with environmental standards remains a critical challenge for state officials.