Data center projects in Pennsylvania face stronger local scrutiny after Shapiro’s executive order
The Environmental Rights Amendment of the PA Constitution guarantees the right to clean air, pure water and to the preservation of the aesthetic values of the environment.
Governor Josh Shapiro of Pennsylvania signed executive order 2026-05 on August 18, 2026, imposing new restrictions on data center projects. The order does not outright halt data center permitting but adds requirements that could slow development and empower local officials. Notably, it disqualifies all data center projects from the PA Permit Fast Track Program, which streamlines permitting for certain high-impact projects.
Additionally, it bans agencies under the governor's control from entering into nondisclosure agreements related to data center projects. A key provision requires the Pennsylvania Department of Environmental Protection to create a public map showing permits for all known data centers. Most significantly, the order mandates that developers must demonstrate compliance with local plans and obtain all municipal approvals before state permits are issued.
This ordering of permits could increase local influence over data center projects. The executive order also establishes a two-tiered permitting system. Developers agreeing to comply with the Governor's Responsible Infrastructure Development (GRID) standards will have their state permit applications reviewed more quickly once local requirements are met.
These standards require developers to secure all necessary energy, including some from renewable sources, cover all project costs, and meet environmental reporting requirements. Developers not complying with GRID standards will face a longer review process, as state permits will not be considered until local permits are secured.
The executive order explicitly references the Pennsylvania Constitution's Environmental Rights Amendment as justification. This amendment, added in 1971, guarantees the right to clean air, pure water, and preservation of natural, scenic, historic, and esthetic values. While its impact has been limited by past court decisions, recent Pennsylvania Supreme Court rulings have bolstered its potential power.
Should the state face legal challenges, courts may need to interpret the amendment's language, weighing environmental protection against developers' property and procedural rights. This development could enhance Pennsylvania's ability to safeguard its environmental values in the face of data center expansion.
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