Pennsylvania Governor Signs Executive Order Imposing Strict Regulations on AI Data Centers

Pennsylvania Governor Josh Shapiro has signed an executive order, called Governor's Responsible Infrastructure Development (GRID), which implements stringent new requirements for AI data center developers across the state. The order mandates that developers make legally binding commitments to cover electricity costs, meet clean-energy standards, and address environmental impacts. A key aspect of the new policy is the requirement for projects to secure local approval before the state Department of Environmental Protection will review their permits.

Governor Shapiro emphasized that he would not allow Pennsylvanians to be "bullied by greedy developers and bulldozed by the lawyers working for these big tech companies." He immediately removed data centers from Pennsylvania's Fast Track permitting program, meaning future projects will no longer qualify for expedited state-level reviews. Additionally, the order prohibits state agencies under his authority from entering nondisclosure agreements with data center developers, aiming to increase transparency. These measures, described by Shapiro as the "nation's strictest," represent a shift from his earlier stance where he praised Amazon's $20 billion data center plans in Pennsylvania. The Governor explained that his change in approach was prompted by concerns from residents regarding potential impacts on utility bills, the environment, and local communities. While the Pennsylvania House passed legislation to codify the GRID requirements in June, the State Senate has yet to vote on the measure, leading Shapiro to act via executive authority.