Data center projects in Pennsylvania face stronger local scrutiny after Shapiro’s executive order
The cooling towers of an electric station are seen beyond an Amazon Web Services data center construction project in Berwick, Pa. Paul Weaver/SOPA Images/LightRocket via Getty Images Governors across the country are relying on their executive powers to address the increasing public backlash against data center proposals.
Governors in several U.S. states are using their executive powers to address growing public opposition to data center projects. In July 2026, New York Governor Kathy Hochul imposed a temporary ban on data center permits until the state completes an environmental impact study. In August 2026, Texas Governor Greg Abbott announced a similar moratorium to allow a review of data center impacts on the electric grid. Pennsylvania Governor Josh Shapiro took a different approach by signing an executive order on August 18, 2026, which imposes stricter local oversight on data center permits rather than banning them outright. These actions reflect rising concerns about the environmental and community impacts of data centers, which require massive amounts of energy and water to operate.
Pennsylvania’s executive order introduces several new restrictions on data center development. First, it removes data centers from the PA Permit Fast Track Program, which previously allowed some high-impact projects to move through permitting more quickly. Second, it bans state agencies from signing nondisclosure agreements related to data centers, aiming to increase transparency. Third, it requires the Pennsylvania Department of Environmental Protection to create a public online map showing all known data center projects in the state. The most significant change is that state permits for data centers cannot be issued until developers have secured all local approvals, giving municipalities greater control over these projects.
The executive order establishes a two-tiered system for reviewing data center permit applications. Developers who agree to follow the Governor’s Responsible Infrastructure Development (GRID) standards receive faster state permit reviews, provided they meet all local requirements. The GRID standards require developers to secure 100% of their energy needs, including a portion from clean sources, pay for all project costs, and comply with environmental reporting rules. Developers who do not meet these standards face a much slower process, as state permit reviews will only begin after all local permits are obtained. This system aims to incentivize compliance with higher environmental and community standards.
The executive order shifts more decision-making authority to local governments by making state permits dependent on local approvals. Municipalities in Pennsylvania already have significant control over land use decisions, such as zoning and noise regulations. With the new order, data center developers will need to work closely with local officials to avoid delays, as state permits cannot be issued without local consent. This change is likely to give communities more leverage in negotiations with developers, allowing them to address concerns about noise, heat, utility costs, and environmental impacts before projects are approved.
A notable aspect of the executive order is its reference to Pennsylvania’s Environmental Rights Amendment, a constitutional provision added in 1971. This amendment guarantees citizens the right to clean air, pure water, and the preservation of natural and scenic values. While the amendment has existed for decades, recent court decisions have given it stronger legal force. The executive order suggests that data centers may unreasonably impair these environmental rights, justifying stricter oversight. If the state uses this amendment to defend the order in court, judges will need to balance environmental protections against industry rights, potentially setting a precedent for future environmental regulations in Pennsylvania.
The executive order could have significant legal and policy implications if it leads to court challenges. Courts may be asked to interpret the Environmental Rights Amendment’s scope and decide whether the state’s restrictions on data centers are justified under the constitution. A ruling in favor of the state could strengthen environmental protections in Pennsylvania, giving citizens and local governments more tools to challenge projects that threaten natural resources. Conversely, a ruling against the state could limit its ability to regulate data centers using this constitutional argument. The outcome may influence how other states address data center development and environmental concerns in the future.
