Pennsylvania governor orders strict new restrictions on data centers

Aug 18, 2026

On August 18, 2026, Pennsylvania Governor Josh Shapiro issued an executive order imposing strict new restrictions on data centers, removing them from fast-track permitting and requiring local approval for state permits. The order mandates water conservation and requires developers to pay for increased electricity use or supply their own power. Shapiro cited aggressive developer behavior and legislative inaction as key drivers, while the impact on Amazon's planned $20 billion investment remains unclear.

Shapiro data center restrictions

▪Governor Josh Shapiro stated that the Pennsylvania legislature's failure to act on data center regulations left him with no choice but to issue the August 18, 2026 executive order.
▪Pennsylvania Governor Josh Shapiro issued an executive order on August 18, 2026, establishing strict new restrictions and guardrails on data center developments in the state.
▪Governor Josh Shapiro's August 18, 2026 executive order immediately removed data center projects from Pennsylvania's fast-track permitting process.

Local community veto power

▪Governor Josh Shapiro stated on August 18, 2026, that if a local community does not approve a data center project, the state of Pennsylvania will also refuse to approve it.
▪Under Governor Josh Shapiro's August 18, 2026 executive order, local community approval is required for data center projects to receive state permits, effectively granting local communities veto power.

Data center environmental requirements

▪Under the August 18, 2026 executive order, Pennsylvania data center projects must pay the costs of higher electricity use and supply their own power generation.
▪Governor Josh Shapiro's August 18, 2026 executive order requires Pennsylvania data center projects to abide by water conservation standards.

Developer community conflicts

▪Governor Josh Shapiro highlighted a proposed data center project where a developer planned to build on top of local Little League baseball fields in Pennsylvania.
▪Governor Josh Shapiro stated on August 18, 2026, that only five data center facilities in Pennsylvania currently hold the necessary permits to begin operating.
▪Governor Josh Shapiro accused data center speculators of scaring and bullying local Pennsylvania communities, being aggressive with township officials, and refusing to listen to residents.

State AI infrastructure policy

▪The impact of Governor Josh Shapiro's August 18, 2026 executive order remains unclear for Amazon's planned $20 billion data center campus investments in Bucks and Luzerne counties.
▪Pennsylvania's data center restrictions follow a broader national trend of states reining in incentives, including New York Governor Kathy Hochul imposing a statewide moratorium in July 2026.