Pennsylvania Imposes Strict New Permitting Standards for Data Centers Amid Criticism

Pennsylvania Governor Josh Shapiro signed an executive order establishing stringent new permitting standards for artificial intelligence (AI) data centers, emphasizing local community power and criticizing "greedy developers." The order directs the state's environmental department to approve permits only if strict requirements are met, positioning Pennsylvania among several states moving to complicate data center development.

This action follows New York's one-year moratorium on large data center development enacted in July, with states like Texas, Delaware, South Dakota, and Michigan also considering similar restrictions. These efforts come as communities grapple with concerns over rising power costs, water usage, and job impacts associated with AI data centers.

Governor Shapiro asserted that Pennsylvania would not permit developers to "bully their way" into communities and insisted on the nation's "strictest standards." However, Steve Milloy, a senior fellow at the Energy and Environment Legal Institute and former Trump Environmental Protection Agency transition team member, strongly criticized the order as "quixotically foolish," arguing that AI and data centers are essential for the modern world and that such "mindless NIMBY-ism" would impede American technological dominance.

Former President Donald Trump echoed this sentiment, having previously called New York's moratorium a "terrible decision." He advocates for states to embrace data centers and AI to maintain a technological edge against countries like China, urging New York to reverse its policy.