PA added just one regulation for data centers in budget
Pennsylvania lawmakers passed only one data center regulation in the state's budget, requiring disclosure of energy and water usage for facilities using over 10 MW. Environmental advocates view this as insufficient, as numerous other proposals, including a sales tax exemption repeal and local moratorium authorization, failed to pass despite public concern.
Pennsylvania lawmakers included only a single regulation pertaining to data centers in the state's $50.8 billion budget: a mandate for facilities consuming over 10 MW of electricity annually to disclose their energy and water usage. Environmental advocates, including Tom Schuster of the Sierra Club's Pennsylvania chapter and Katie Blume of Conservation Voters of Pennsylvania, criticized this measure as not substantive enough, urging the legislature to pass more comprehensive data center legislation.
Despite a flurry of bills proposing stricter regulations, such as repealing a sales tax exemption (projected to cost the state $2 billion by mid-2031) and allowing local governments to enact development moratoriums, none advanced to the governor's desk. State House Majority Leader Matt Bradford blamed Senate counterpart Joe Pittman for the legislative inaction, while a spokesperson for Democratic Gov. Josh Shapiro also attributed the failure to State Senate Republicans. Shapiro's plan would have tied tax credits to environmental and energy standards.
Pittman, however, countered Bradford's claims, asserting that Senate Republicans are open to further discussions, including measures for local moratorium decisions. Rob Bair, president of the Pennsylvania State Building and Construction Trades Council, expressed support for some regulations but cautioned against moratoriums, citing potential negative economic ramifications. Advocates hope for renewed legislative efforts on data center regulation when lawmakers return to the Capitol in September, specifically pushing for a bill sponsored by state Rep. Rob Matzie that would mandate data centers pay for utility infrastructure, ensure clean energy sourcing, and prohibit utilities from passing costs to ratepayers.