Pennsylvania Governor Shapiro Signs Executive Order Implementing Nation's Strictest AI Data Center Protections
Pennsylvania Governor Josh Shapiro has tightened rules on AI data centers, requiring developers to meet strict energy, environmental, and transparency standards and obtain local approval before moving projects…
Pennsylvania Governor Josh Shapiro has tightened rules on AI data centers, requiring developers to meet strict energy, environmental, and transparency standards and obtain local approval before moving projects forward.
Shapiro Takes Action Against AI Data Center Developers
On Tuesday, Shapiro signed an executive order implementing the Governor's Responsible Infrastructure Development requirements.
GRID gives local communities greater control over proposed data centers while requiring developers to address their energy and environmental impacts.
The executive order requires developers to make legally binding commitments to GRID standards, including covering electricity costs associated with their facilities and meeting clean energy requirements.
Projects must also obtain local approval before state environmental agencies can review their permits.
"I will not let the people of Pennsylvania be bullied by greedy developers or silenced by the lawyers of these big tech companies," Shapiro said on X.
Breaking: I just signed an executive order implementing the toughest AI data center standards in the nation—because I will not let the people of Pennsylvania be bullied by greedy developers or silenced by the lawyers of these big tech companies.
Effective...
— Governor Josh Shapiro August 18, 2026
Pennsylvania Removes Data Centers from Expedited Permitting
The governor also immediately removed data centers from Pennsylvania's expedited permitting program, meaning future projects will no longer qualify for accelerated state approval.
The executive order also prohibits state agencies under Shapiro's authority from signing confidentiality agreements with data center developers, a move aimed at increasing transparency for proposed projects.
Shapiro described these measures as the "strictest in the nation" protections for AI data center development.
His policy marks a shift from last year, when he praised Amazon.com, Inc.'s $20 billion plan to build two data center campuses in Pennsylvania.
Shapiro Says Communities Must Have a Voice
Shapiro said he changed his approach after hearing residents' concerns about data centers' potential impact on electricity rates, the environment, and local communities.
"While expedited permitting has proven to be a tremendous asset... this type of development doesn't fit," Shapiro said.
The Pennsylvania House passed legislation in June to codify GRID requirements into law, but the state Senate has not yet voted on the measure. Shapiro said the lack of legislative action left him with "no choice" but to act through executive authority.
Trump Criticizes New York's AI Data Center Ban
Last month, New York Governor Kathy Hochul implemented the nation's first state-level moratorium on new hyperscale data centers, suspending environmental permits for up to one year.
At the time, Donald Trump criticized the policy on Truth Social as a "terrible decision," arguing it could push investment, tax revenue, and jobs to states more welcoming of data center projects.
insigtX content is informational and educational, not investment advice.