Shapiro orders data center rules as Trump pushes AI buildout
Pennsylvania Gov. Josh Shapiro issued an executive order requiring large data center developers to cover electrical grid costs, contrasting with former President Donald Trump's call for light-touch AI regulation and infrastructure buildout. This highlights a national debate impacting communities like Northeast Philadelphia, where grid reliability and costs are major concerns.
Pennsylvania Governor Josh Shapiro issued an executive order requiring large data centers to cover electrical grid costs, setting a different path from former President Donald Trump's advocacy for light-touch AI regulation and accelerated infrastructure development. Trump, speaking to crypto executives, urged governors and mayors to welcome data center projects, highlighting their job creation and tax revenue potential.
Trump also promoted the idea of AI companies building their own power plants to alleviate strain on the existing grid, noting that companies like Amazon, Google, Meta, Microsoft, OpenAI, Oracle, and xAI have signed a pledge to pay for new electricity generation. However, Shapiro's order focuses on making developers, not ratepayers, responsible for these infrastructure costs.
This national debate has local implications for areas like Northeast Philadelphia, which faces concerns over utility bills and grid reliability. Growing opposition to data centers nationwide, driven by electricity costs, water usage, and environmental impacts, has led to moratorium discussions in 15 states and numerous protests, with community resistance increasingly influencing project financing.