Data center projects across Pennsylvania in limbo after new Shapiro order
Pennsylvania Governor Josh Shapiro issued an executive order imposing new restrictions on data center projects seeking state permits. This order, which requires developers to secure local land use approvals and provide their own power, is expected to put several proposed data centers in south-central Pennsylvania, including the PAX One campus and a project at Dauphin Highlands, into question. State officials believe the new regulations will likely cause some developers to abandon their plans.
Pennsylvania Governor Josh Shapiro has signed an executive order that introduces new restrictions on data center projects applying for state permits, casting uncertainty over existing proposals in south-central Pennsylvania.
The order mandates that artificial intelligence data center developers must secure all local land use approvals before their state permit applications will be considered. Additionally, developers will be required to bring and pay for their own power supply, easing the burden on existing grids.
Jessica Shirley, Secretary for the Department of Environmental Protection (DEP), stated that these new regulations, particularly the requirement for local support, are likely to cause a significant number of data center proposals to be dropped. She emphasized that local communities and elected officials will have the initial say on whether a data center can be located within their jurisdiction.
The executive order impacts several projects, including the PAX One data center campus in Middlesex Township, Cumberland County, which has four pending DEP permits. The future of more speculative projects, such as a proposed center at the Dauphin Highlands Golf Course in Dauphin County, is also in doubt. While no permit applications have been submitted for the Dauphin Highlands project, the Dauphin County General Authority has already sold the course to an unnamed Texas real estate developer.