Pennsylvania Governor Josh Shapiro recently signed Executive Order 2026-05, directing Commonwealth agencies to require all data center proposals applying for permits to comply with the Governor's Responsible Infrastructure Development (GRID) Requirements. According to the press release, the move is designed to block “speculative, irresponsible data center projects from moving forward, giving local communities more power over data center development, and protecting Pennsylvania residents.”

Shapiro’s Executive Order requires developers to receive local approval and make legally binding commitments to the Governor’s GRID Requirements before the Department of Environmental Protection (DEP) will evaluate proposed data center permit applications.

The GRID Requirements stipulate that developers must:

• Pay the full cost of new electricity generation, transmission, distribution, and other infrastructure needed to power their project without shifting costs to Pennsylvania residents.
• Commit to transparent engagement with local residents. This includes public meetings, plans for community outreach to notify impacted local governments, and early consultations that allow for meaningful public input on design decisions.
• Hire and train local workers.
• Enter into community benefit agreements that invest in local school and infrastructure.
• Meet environmental protection standards, including strict requirements for water conservation.

Pennsylvania isn’t the first state in recent months to put stricter conditions on data center development. Earlier this month, Texas Governor Abbott ordered a comprehensive review of data centers connecting to the Texas grid, requiring a comprehensive verification and audit of all data centers before projects can move forward. Additionally, New York Governor Hochul signed an executive order in July of this year that paused new permits for data centers with 50 MW+ demands in order to give state agencies time to develop a regulatory framework addressing the growing impact on the electric grid, natural resources, and local communities.

These orders come amid growing pushback to data centers from communities across the country over concerns of the strain on power grids, water resources, and local infrastructure. These new orders aim to require data center developers to address environmental, energy, and other concerns before projects can move forward.

For more information on the growing pushback, read “The Rising Challenge of Moratoriums on Data Center Construction and Industry Adaptation” by Tom Zind.