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Pennsylvania governor signs order imposing new rules to set up AI data centers in state

The order requires local approval, bans nondisclosure agreements and makes developers pay their own power costs as more than 100 proposals are under review.

  • Pennsylvania Governor Josh Shapiro signed Executive Order 2026-05, establishing new rules and guardrails for data center development across the state.
  • The order directs the Department of Environmental Protection to process state permit applications only if developers sign legally binding commitments to meet the Governor's Responsible Infrastructure Development standards and obtain prior approval from local municipal governments.
  • Under the new rules, developers must cover all electricity generation, grid transmission, and utility infrastructure costs required for their facilities to prevent increased energy bills for local residents and businesses.
  • The executive order immediately excludes all artificial intelligence data center proposals from Pennsylvania's fast-track permitting program, prohibiting expedited state-level reviews for these projects.
  • Data center developers are strictly barred from using non-disclosure agreements with local municipalities and are required to publicly report detailed energy and water consumption data.
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Gov. Josh Shapiro announces new limits on data centers in Pennsylvania

More governors are shifting their stances or taking steps to squeeze data centers as the midterm elections near and public opinion sours on the energy-hungry behemoths tech giants are building to fuel artificial intelligence products and cloud computing.

·Atlanta, United States
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  • 59% of the sources are Center
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NBC Philadelphia broke the news in Philadelphia, United States on Tuesday, August 18, 2026.
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