Shapiro’s data center executive order draws mixed reactions
Pennsylvania Governor Josh Shapiro has issued an executive order requiring state permits for large data centers to be tied to local zoning approvals, giving communities more control. This follows a year-long development pause in several Mon Valley communities, where officials are amending zoning ordinances due to a potential data center project by EQT. The order has drawn mixed reactions from local officials and advocacy groups.
Pennsylvania Governor Josh Shapiro has signed Executive Order 2026-05, titled "Protecting Pennsylvania Consumers from Data Center Impacts," which modifies the state's approach to data center permits and incentives. The order, which took immediate effect, aims to empower local communities by tying key state permitting processes for large data centers (over 25 megawatts) to local zoning and land-use approvals. Developers who comply with the Responsible Infrastructure Development (GRID) requirements can have state permits reviewed concurrently with local proceedings, but final state permits will not be issued until municipal approvals are secured. Those not agreeing to GRID must obtain local approvals before state review begins.
The executive action comes amidst significant local activity in the Mon Valley, where six communities
—Stockdale, Roscoe, Dunlevy, Allenport, Elco, and Coal Center
—recently concluded a year-long pause on data center development to revise their joint zoning ordinances. This regional effort was spurred by a potential data center project on a 400-acre former steel mill property within the Mon River Industrial Park, a site for which EQT holds an option to purchase. While EQT states it is in early evaluation stages, local officials like Stockdale Councilwoman Sherri Martin see Shapiro's order as a "giant step" in their efforts to prevent data center development, emphasizing the continued need for local resident involvement.
However, reactions to the executive order are mixed. Stockdale Councilwoman Bobbi Schock expressed skepticism, questioning the definition of "local approval" and the effectiveness of the order in protecting communities, suggesting it aims to "make people 'feel' better" without genuinely preventing development. The Center for Coalfield Justice, while welcoming increased local input, criticized the order for retaining the data center sales tax exemption and not mandating community benefit agreements. Conservation Voters of Pennsylvania and Pennsylvania Farm Bureau also praised certain aspects but called for additional legislative protections, highlighting ongoing debates in the state House and Senate on various data center regulation bills, none of which have fully passed.
The order itself does not ban data centers or establish a statewide moratorium. Instead, it prohibits agencies under the governor's authority from using nondisclosure agreements for data center projects, directs the DEP to create a public map of proposed facilities, and mandates annual reporting of electricity, water, and emissions data from operating data centers starting July 2027. It also pushes the PUC to consider policies ensuring data centers bear their own electricity costs and face curtailments before other customers during grid emergencies.