Local lawmakers respond to Shapiro’s data center executive order
Governor Josh Shapiro issued an executive order altering data center permitting in Pennsylvania, withdrawing them from a fast-track program and requiring local approvals first unless developers meet new "GRID" requirements. Local lawmakers from Lebanon County offered mixed responses, with some criticizing the timing and others supporting the need for greater local control and infrastructure planning. This order follows resident concerns about data center impacts on resources and infrastructure.
Governor Josh Shapiro of Pennsylvania issued an executive order modifying the permitting process for data centers, effective immediately. The order removes data centers from the state's fast-track program and mandates that all projects secure local approvals before state Department of Environmental Protection (DEP) reviews, unless developers adhere to the new Governor’s Responsible Infrastructure Development (GRID) requirements. These requirements include securing incremental capacity and energy, sourcing an increasing percentage of power from clean energy within Pennsylvania, and covering all project-related costs. The executive order also prohibits non-disclosure agreements for data centers within agencies under the Governor's jurisdiction and mandates annual energy and water consumption reports starting next July. Shapiro cited concerns about the electric grid, potential increases in capacity charges for residents, speculative proposals, and public demand as reasons for the order.
Local representatives from Lebanon County, including State Reps. Russ Diamond and John Schlegel and State Sen. Chris Gebhard, responded with mixed views. Diamond and Gebhard criticized the executive order as an "election year ploy," with Gebhard noting Shapiro's previous "all in on AI" stance and the Senate's recent efforts to include data center transparency in the state budget and revoke sales tax exemptions (HB 1667). Both acknowledged the validity of requiring developers to plan for infrastructure impacts. Rep. Schlegel conveyed constituent concerns about land use, water, and energy, advocating for greater municipal control and transparency from developers.
The article highlights ongoing legislative efforts in the state House, including HB-2533 for temporary municipal moratoriums, HB-2150 for energy and water reporting, and HB-2151 for a model ordinance. Lebanon County municipalities are actively updating zoning ordinances in response to resident concerns, with a proposed $1.7 billion data center in South Annville Township previously withdrawn due to strong opposition. Solicitors have advised municipalities against outright bans or exclusionary zoning, emphasizing Pennsylvania's landowner-oriented planning code, suggesting that significant changes to municipal power must come from Harrisburg.