LUBBOCK, TEXAS (RFD NEWS) — Data centers are rapidly expanding into rural areas, raising new concerns about competition for land, water, and electricity with agricultural operations. Texas A&M AgriLife economists say the impact will depend on how these facilities use local resources and how communities manage development.
Texas is emerging as a major hub, with about four gigawatts of data center capacity already in place and nearly eight gigawatts under construction. Large-scale facilities can span hundreds of acres and operate continuously, consuming as much electricity as a small city.
Farm-Level Takeaway: Data centers may compete with farms for key resources.
Tony St. James, RFD NEWS Markets Specialist
That demand could strain rural power systems. Year-round electricity use may drive higher rates and increase grid pressure, especially during peak summer irrigation periods. Water use is also significant, with some facilities requiring more than a million gallons per day, adding pressure on groundwater resources in key aquifers.
Land use is another concern. Once converted, these sites rarely return to agriculture. While data centers can generate tax revenue, they create relatively few long-term jobs.
PLC and NCBA Chief Counsel Kaitlynn Glover reacts to the USDA’s new Grazing Action Plan, regulatory relief for ranchers, and the industry’s efforts to improve access to public lands.
April 01, 2026 10:41 AM
·
Education efforts give visitors a closer look at dairy farming at the Rodeo Austin Livestock Show with the help of a cute cow named Lucy.
March 31, 2026 03:06 PM
·
Texas Farm Bureau intern Jazmine Gutierrez-Davila uses her background and bilingual skills to connect kids to agriculture while attending Rodeo Austin’s Livestock Show.
March 31, 2026 02:45 PM
·
Higher energy activity likely keeps fuel and fertilizer costs elevated.
March 31, 2026 01:40 PM
·
Building on the USDA’s recently released Grazing Action Plan, the agreement formalizes collaboration between the USDA, Forest Service, and Bureau of Land Management to ensure more efficient, transparent, and responsive grazing management across federal lands.
Dry conditions remain a concern as Texas farmers prepare for another planting season.
March 31, 2026 11:50 AM
·
