WHAT’S HAPPENING TODAY: Good afternoon and happy Monday, readers! We hope you all had a restful weekend. The House is out of town, but the Senate remains in D.C. for two more weeks before the scheduled August recess to take on several key legislative priorities. But, as for tomorrow, the memorial service for Republican Sen. Lindsey Graham of South Carolina will be held at the National Cathedral, where President Donald Trump, Israeli Prime Minister Benjamin Netanyahu and Ukrainian President Volodymyr Zelensky are expected to attend. Welcome to Daily on Energy, written by Washington Examiner energy and environment writers Callie Patteson (@CalliePatteson) and Maydeen Merino (@MaydeenMerino). Email cpatteson@washingtonexaminer dot com or mmerino@washingtonexaminer dot com for tips, suggestions, calendar items, and anything else. If a friend sent this to you and you’d like to sign up, click here. If signing up doesn’t work, shoot us an email, and we’ll add you to our list.
TALARICO CAMPAIGNS ON DATA CENTER SKEPTICISM IN TEXAS SENATE RACE:
James Talarico has joined the rush of political candidates calling for greater regulation of data center construction and is criticizing his opponents as tools of Big Tech. Last week, the Democratic Senate candidate proposed requiring data centers to protect the electric grid and the environment, repealing state tax exemptions for development, mandating that projects pay for required infrastructure, and giving local communities the authority to approve or reject new facilities. Why Texas is of particular importance: Texas is expected to have a massive expansion of data centers in the next few years. The Texas Tribune said that at least 248 data center projects are planned across the state.A poll last month showed that nearly 56% of registered voters in Texas oppose the development of data centers in their communities. In other words, Texas is part of a broader trend of antipathy toward data center construction, much of it rooted in fears about electricity consumption, water use, and noise. Frank Maisano, senior principal at Bracewell Law, told Maydeen that data centers have not done a good job at addressing concerns raised by communities. “You’ve got to start building bridges before you can build projects,” Maisano said. “You have to be a partner of that community. Whether you’re building a wind turbine project, whether you’re building a pipeline, or whether you’re building a data center. I just don’t think that the hyperscalers have done well enough.”The political implications: Talarico bashed data-center-friendly politicians as responsible for higher utility bills. “Billionaire-backed politicians are giving sweetheart tax deals to giant AI companies and then sticking us with the bill,” he said. Talarico’s Republican opponent, Attorney General Ken Paxton, has yet to officially share his stance on data centers. But Republicans in the state have increasingly been open to imposing rules on data center development. Texas Gov. Greg Abbott proposed regulations for data centers aimed at addressing concerns over taxation, energy demand, and environmental impacts. Talarico’s new stance is close to Abbott’s. “Initially, Texas Republicans were 100% gung ho on data centers,” Mark Jones, a political scientist at Rice University, told Maydeen. Data center developers have been seeking out development mainly in rural communities, which typically favor GOP candidates, creating “real consternation in rural areas where people see their quality of life, their water resources, and even their electricity as being under threat by the establishment of these big data centers,” Jones said. Jones said that he expects Paxton to mirror Abbott’s data center stance. “Greg Abbott is the quarterback of Texas Republicans,” Jones said. “The statewide campaign in November 2026 will be led by Abbott more than any other single Republican, and so he is already setting the tone related to data centers, highlighting how he is going to push back against data centers,” he said.
