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Pennsylvania Tightens Rules for AI Data Center Development

Pennsylvania's governor signs an executive order imposing strict environmental and transparency rules on AI data centers.

Pennsylvania Governor Josh Shapiro has signed an executive order introducing new requirements for companies seeking to build AI data centers in the state. The order, effective immediately, mandates that developers meet environmental and transparency standards and obtain approval from local communities before proceeding with projects.

The state has become a prime location for data centers due to its abundant natural gas from the Marcellus shale basin, existing power infrastructure, and proximity to major East Coast population centers. However, the rapid expansion of such facilities has drawn increasing opposition nationwide.

A recent poll indicated that only a third of Americans approve of the current pace of data center construction, with just 14% supporting a facility being built in their own community.

Under the new order, all data centers are removed from Pennsylvania's Fast Track permit program. Additionally, offices and agencies under the governor's jurisdiction are barred from signing non-disclosure agreements with data center developers.

Shapiro stated he is using his executive authority to block objectionable projects and implement some of the nation's strictest protections. The measures aim to prevent data center projects from raising utility bills and to safeguard residents' rights to clean air and water.

The move comes as major companies continue to invest in the state, with Amazon having announced $20 billion in planned investment in Pennsylvania last year.