The Governor of Pennsylvania has signed an executive order setting strict requirements on data center developments in the state.

Governor Josh Shapiro signed an executive order on Tuesday (19 August) that directed the Department of Environmental Protection to review permit applications only if developers have made a legally binding commitment to meet the Governor’s Responsible Infrastructure Development (GRID) requirements and have received local approval.

The GRID requirements will mandate that data center developers meet strict standards on energy affordability, environmental protection, workforce and economic development, transparency, and community engagement.

Under the GRID requirements, data centers must pay the full cost of new electricity generation, transmission, distribution, and other infrastructure needed to power their project, commit to open, transparent engagement with local residents and leaders, including detailed community outreach plans, and meet the highest standards for environmental protection, including strict water conservation requirements.

The order also mandates that data center projects receive all required local approvals before permits are issued.

In addition, the order will remove all AI data center proposals from the fast-track permitting process and prohibit nondisclosure agreements for data center projects. The order will be effective immediately.

“Over the past year, I’ve listened to the people of Pennsylvania – and I’ve heard directly from many residents across our Commonwealth who are concerned about what data center development could mean for our communities, our environment, and our utility bills,” said Governor Josh Shapiro. “My message to data center developers is clear: if you can’t agree to our strict requirements and get the community where you want to build to say ‘yes,’ you’re not going to have the Commonwealth’s support either. These are some of the biggest companies in the world — they can afford to be good neighbors, follow the rules, and do this right.”

The move is the latest by a Governor in the US to impose greater controls over the data center market. Earlier this month, Texas Governor Greg Abbott directed the Public Utility Commission of Texas and the Electric Reliability Council of Texas to undertake a comprehensive audit of all data center projects currently advancing through ERCOT’s interconnection process.

Several state legislatures have also passed legislation placing data centers in new rate classes to ensure they bear the costs of new transmission and generation needed to serve them. Notable states to impose these rules include Ohio, North Carolina, and Virginia, to name a few.

Pennsylvania has attracted a host of data center developments in recent months, and DCD took an in-depth look at the digital infrastructure market in the state in a previous magazine. Read those pieces here and here.