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Pennsylvania curbs data center development approvals under new restrictions
The executive order, signed Aug. 19, requires municipal approval, bars projects from the Fast Track permitting program, and ties sales tax eligibility to compliance with responsible infrastructure rules.
Pennsylvania Gov. Josh Shapiro last month enacted new restrictions on data center development, a shift that some builders say is helping separate long term operators from speculative proposals, according to Bisnow.
At least one developer, Pennsylvania Data Center Partners CEO Igal Feibush, welcomed the guardrails, saying they encourage well considered projects and reduce deals that prioritize quick profits over community impact.
The order, enacted Aug. 19, requires municipal approval before a new data center project can be reviewed by the state, and it bars the sector from Shapiro’s signature Fast Track permitting program.
The rules also heavily incentivize compliance with the Governor’s Responsible Infrastructure Development program, including measures aimed at minimizing water usage and requiring developers to buy or create their own power to avoid impacts on average ratepayers, with noncompliant projects ineligible for rolling permit reviews and Pennsylvania’s sales tax exemption.