Shapiro issues executive order putting guardrails on data centers
Pennsylvania Governor Josh Shapiro issued an executive order establishing strict "guardrails" for data center development across the state. The order mandates companies pay for energy, minimize pollution and water usage, hire local workers, and agree to community benefits, granting municipalities the power to block projects if these standards aren't met. This comes amid local opposition to a proposed Switch data center in Big Beaver, where residents are concerned about noise, pollution, and increased electric bills.
Pennsylvania Governor Josh Shapiro signed an executive order, introducing what he described as the nation's strictest "guardrails" for data center development. The order aims to empower local municipalities with greater control over projects, mandating that developers meet four minimum standards: paying for their own energy, minimizing noise and air pollution and water usage, hiring local workers, and negotiating community benefit agreements. Governor Shapiro emphasized that if these standards are not formally agreed upon with the local community, the state will support the municipality in blocking the data center, stating, "if the local community doesn't approve a project, the state won't approve it either."
This statewide action coincides with significant local opposition in western Pennsylvania to a proposed 600,000-square-foot data center by Switch, planned for a former racetrack in Big Beaver. Residents have voiced concerns about potential noise, pollution, water usage, and increased electricity costs. The Big Beaver borough planning committee is scheduled to conduct its initial review of Switch's application later this month, while local towns are actively developing data center ordinances.
Governor Shapiro did not explicitly reference the Big Beaver project, though Switch had previously indicated it would address community concerns. The issue of data center development has also become a political talking point, with Shapiro's opponent, Stacy Garrity, accusing him of a policy reversal, suggesting his new stance is a reaction to shifting public opinion despite past campaign donations from data center interests. The effectiveness of the governor's order in empowering communities to influence or halt projects remains to be seen.