Governor Greg Abbott announced on August 18, 2026, that Riot Platforms and Comanche Circle Data Center, developed by Sailfish Investors, have committed to comply with the statewide standards and guidelines he established for data center development in Texas.

The announcements mark the latest wave of compliance following directives Abbott issued earlier this summer requiring data centers to meet a series of conditions before projects can advance.

Abbott's Standards and the Compliance Framework

Earlier this summer, Abbott established statewide standards directing the Public Utility Commission of Texas and the Electric Reliability Council of Texas to ensure data centers operating in the state pay for their own electric infrastructure rather than shifting costs onto Texas families and small businesses, reuse their own water, reduce electricity costs for Texans, avoid disrupting residential neighborhoods, and eliminate reliance on outdated taxpayer-funded incentives.

Under the framework, PUCT and ERCOT are required to examine each data center project before it can move forward. Companies must disclose all taxpayer-funded incentives, grants, abatements, and other public financial assistance tied to their projects.

They must also detail projected electricity demand and plans for on-site generation or other measures to reduce reliance on the ERCOT grid, identify water sources and projected water use along with reuse procedures and water-efficient cooling technologies, outline measures to reduce impacts on neighboring communities, and disclose project ownership and controlling interests.

Any data center company that fails to comply with ERCOT's audit process will be subject to having its approval denied.

Abbott stated that his guidelines and guardrails are being universally implemented by data centers across the state, and noted that one data center that could not comply chose to end operations before even beginning construction.

Riot Platforms' Commitment and Texas Footprint

Riot Platforms, through a letter signed by Chief Executive Officer Jason Les, expressed support for Abbott's principles of ratepayer protection, water stewardship, and ensuring that communities hosting data center operations share in the industry's economic benefits.

The company committed to working transparently with Abbott's office, PUCT, ERCOT, and local officials, and to participating fully in the verification and audit process.

Les stated in the letter that Riot invests directly in the infrastructure needed to support its operations in order to shield ratepayers from associated costs.

In Navarro County, Riot is investing USD 17 million to update aging water infrastructure, which the company says will deliver greater water pressure and long-term benefits to local residents.

Riot described itself as one of the largest employers and taxpayers in both Milam and Navarro counties. According to the letter, the company accounts for approximately 60 percent of the taxes paid to Dawson ISD.

Riot also stated that its annexation into the town of Oak Valley increased that municipality's annual budget from roughly USD 10,000 to USD 1,000,000.

The company cited partnerships with local organizations including the Boys and Girls Club, the Navarro College Foundation, the Corsicana Main Street Program, and the Heritage Bowl.

Comanche Circle's Design and Sailfish Investors' Position

Sailfish Investors announced its commitment to Abbott's standards on August 11, 2026, ahead of the governor's broader announcement.

The firm, which develops data center and power infrastructure exclusively in Texas and was founded by Ryan Hughes in 2023, confirmed that its Comanche Circle project in Hood County is committed to meeting the standards as implemented by PUCT and ERCOT.

Hughes stated that Governor Abbott's standards reflect how Comanche Circle was designed from the outset.

The project is structured around privately funded interconnection and financial-commitment obligations under Senate Bill 6 and applicable commission rules, so that infrastructure costs are borne by the project rather than passed to Texas ratepayers.

Comanche Circle is advancing privately funded on-site natural gas generation designed to materially reduce its net draw from the ERCOT grid and add dispatchable capacity to the region.

Subject to ERCOT's interconnection approvals, Sailfish stated that excess power could be made available to the grid.

The project employs closed-loop, water-efficient cooling, with the company projecting consumptive water use far below that of traditional evaporatively cooled facilities.

On the question of community impact, Sailfish noted that the Comanche Circle site was selected for its large acreage and sparse surrounding population.

According to the company, only four residences are adjacent to any portion of the project's nine-mile perimeter.

Sailfish stated it has proactively offered a binding setback buffer to one adjacent landowner and remains open to similar agreements with others.

Hughes welcomed what he described as a uniform process that distinguishes well-capitalized, executable projects from speculative interconnection requests, adding that Comanche Circle is not seeking special treatment.

Sailfish committed in its letter to Abbott to full and prompt participation in the audit process, including disclosure of any public financial assistance, its generation plans, water sourcing and reuse practices, community impact mitigation measures, and project ownership and controlling interests.