Pennsylvania Governor Josh Shapiro, once a proponent of data center development, has implemented stringent new regulations for these projects, removing them from a fast-track approval program and requiring them to meet new environmental and community standards. This shift comes as public opposition to data centers, particularly those fueling AI, has intensified due to concerns over their significant electricity demands, potential to increase utility costs, and strain on local water resources. Shapiro's executive order, signed on August 18, mandates compliance with "GRID" requirements, including plans for self-sufficient power, renewable energy use, water conservation, local hiring, and public transparency.

Previously, Shapiro had celebrated Amazon's June 2025 announcement of a $20 billion investment to build two data center complexes in Pennsylvania, hailing it as the state's largest private investment. However, a recent poll conducted by The Inquirer, The New York Times, and Siena University from August 17-21, 2026, revealed that 60% of Pennsylvania voters oppose data center development, with even higher opposition among younger demographics. This public sentiment, coupled with pressure from his Republican opponent Stacy Garrity and grassroots campaigns, has prompted Shapiro to take a tougher stance.

Shapiro's administration has identified over 100 proposed data center projects in Pennsylvania, with only five currently holding the necessary permits to operate, and 14 sites having obtained tax exemptions. He has criticized what he calls "predatory developers" for attempting to push through projects without adequate financing or infrastructure, citing a contentious situation in Archbald Borough involving multiple proposed campuses. While his new regulations are touted as the "strictest guardrails in the nation," critics like Food and Water Watch argue they don't go far enough, calling for a full moratorium and pointing to potential revenue losses from existing tax incentives.