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Policy · Aug 21, 2026, 01:35 AM · 4 sources

Pennsylvania Gov. Shapiro restricts AI data centers; removes Fast Track, mandates GRID compliance

Pennsylvania Governor Josh Shapiro signed Executive Order 2026-05 on August 18, implementing strict guardrails on AI data center development. The order removes all AI data center projects from Pennsylvania's Fast Track permitting process and prohibits use of nondisclosure agreements for data center projects. Developers must now sign legally binding consent orders committing to the Governor's Responsible Infrastructure Development (GRID) standards, which include full payment of electricity infrastructure costs, clean energy sourcing mandates, local community approval, and environmental protections.

The move reverses Shapiro's prior embrace of data-center growth. Pennsylvania has seen over 100 speculative data center proposals in the past year, though only five have received all permits needed to begin operations. Shapiro acknowledged hearing from residents in Archbald and Montgomery County concerned about "predatory" developers. The GRID standards passed the state House on a bipartisan basis but stalled in the Republican-controlled Senate, leaving Shapiro to implement them by executive authority.

For operators and architects, the order signals a consolidation of state-level restrictions. Developers must now cover infrastructure upgrades to the electrical grid themselves rather than socializing those costs across all ratepayers. Pennsylvania joins a growing coalition of states pushing back on speculative data center buildout; a July Quinnipiac poll found 74% of Pennsylvania voters oppose AI data center construction in their communities. The policy reflects broader tension between federal AI infrastructure push and local energy, water, and community impact concerns.

Sources

Everything this brief rests on
  1. 01 Primary source pa.gov
  2. 02 pa.gov pa.gov “The Executive Order removes all AI data center proposals from the Fast Track permitting process and prohibits the use of nondisclosure agreements for data center projects.”
  3. 03 pa.gov pa.gov “The Governor is also immediately removing all AI data center projects from the PA Permit Fast Track Program and will not consider data center projects for the program going forward.”
  4. 04 pa.gov pa.gov “In the last year, DEP has become aware of an unprecedented number of data center proposals, with over 100 projects reported in publicly sourced databases, and 58 projects engaged with DEP to discuss permitting at some level of formality.”