Pennsylvania Gov. Josh Shapiro (D) will announce new stringent regulations on data centers on Tuesday, reversing some of his past policies while embracing more rigorous reviews of the projects that have angered residents throughout the state.
Shapiro, a Democrat who is up for reelection this year, plans to sign an executive order that blocks any new data center project in Pennsylvania unless it meets new guidelines that seek to limit electricity and water usage. The order also requires data center developers to receive approval from local authorities before the state will consider authorizing projects.
Shapiro’s order stops short of a blanket moratorium on data center development. But administration officials said the new policies are constructed in such a way that it will be exceptionally difficult for most data center developers to meet the new requirements.
The new policy represents a shift for Shapiro, who has been mentioned as a possible presidential candidate in 2028 and has been trying to navigate hardening public opposition to data centers nationwide.
Until recently, Shapiro has appeared supportive of data center development in Pennsylvania, including heralding projects that were part of a “fast track” program to speed up private sector investment in the state. The executive order he plans to sign Tuesday removes all data center programs from the fast-track program.
“The Constitution of the Commonwealth of Pennsylvania and the laws of the Commonwealth recognize Pennsylvanians’ right to clean air, pure water, and to the preservation of the natural, scenic, historic, and esthetic values of the environment,” states Shapiro’s executive order, a copy of which was obtained by The Washington Post. “Without proper controls, the proliferation of data centers could harm Pennsylvanians’ right to clean air and pure water because of their emissions, water use, and energy demand.”
In recent months, Pennsylvania has been at the center of an increasingly divisive battle nationwide over data centers that are being constructed to power demand for artificial intelligence. Data center developers are drawn to the state because of its interstate power lines and abundant water supplies, and its interstate highways offer easy access to East Coast cities.
In April, The Post reported on how residents in Archbald in northeastern Pennsylvania were fighting back after developers proposed six sprawling data campuses in the town of 7,000 residents. Those campuses would include 51 data warehouses, each the size of a Walmart Supercenter, and consume about 14 percent of the town’s land.
One of the proposed data center campuses in Archbald had initially been included in Shapiro’s fast-track program, angering local residents.
Shapiro visited Archbald in May, and the frustrations of local residents helped convince him that even stricter regulations were needed on data center development in Pennsylvania, according to members of his staff.
Although recent polls show he is heavily favored to win reelection, Shapiro is also facing a Republican challenger, state Treasurer Stacy Garrity, who is calling for a pause on all new data center development.
According to state officials, there are about 100 proposed data center projects in Pennsylvania. But officials say they believe the vast majority of them are “speculative” and will not be built. State permitting offices have applications for about 20 data center projects, including five that have already received their permits.
Under the revised guidelines, data centers seeking state approval must sign a 40-page document agreeing to a variety of environmental, land use and energy consumption guidelines. They include requiring developers to “bring their own power” and pay for all costs associated with that electricity,” Shapiro plans to announce. The energy guidelines also require 10 percent of that energy to come from clean sources.
One of the biggest policy changes is Shapiro’s pledge that projects will only receive state permits if they are first approved by local officials. The change is likely to strengthen the responsibilities of municipal officials who are often heavily influenced by public opinion.
Shapiro’s policy changes come as growing numbers of political leaders from both parties try to slow down data center development.
Last month, New York Gov. Kathy Hochul (D) signed legislation implementing a one-year moratorium on new data centers in her state. Texas Gov. Greg Abbott (R) backtracked from his past support for the centers by issuing a sweeping freeze on new projects until the state could audit energy usage.
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