Yesterday, Governor Josh Shapiro announced his GRID Standards for Data Center Developers. The GRID standards cover four key areas of energy affordability; transparency and community engagement; workforce and economic development; and environmental protection. Specifically, data centers would be incentivized and steered toward cleaner power over time, shown through the clean firm energy requirements that ramp from 10% in 2027, to 14.5% in 2030, and 32% by 2035. Under the GRID standards proposal, developers are required to demonstrate their project meets standards in all four areas in order to qualify for GRID certification. With GRID certification, projects would qualify for multiple state benefits, including the Permit Fast Track Program, sales and use tax benefits for the purchase of computer data center equipment, and participation in preferential tax zone programs.

In response, Carolyn Heckman, Associate Director of Pennsylvania Policy released the following statement:

“Pennsylvania cannot ask families and their children to subsidize data center projects that are not developed with their health and pocketbooks in mind. Governor Shapiro’s GRID standards proposal is a positive step in the right direction, including requirements for developers to bring their own energy and for that energy to be cleaner over time. However, we can not stop here. Community input matters and the type of power developers bring matters. As data centers are built next to our homes, schools, and playgrounds, developers must take care not to bring polluted air, water shortages, and higher power bills to our doorsteps, too. 

“We appreciate the proposal’s requirements for data centers to use more clean and less polluting power sources over time. We look forward to working with Governor Shapiro and the Legislature to build upon this hopeful step forward, as well as clean energy provisions like that in House Bill 1834, so that all Pennsylvania children can have the hope and expectation of a future free from the burden of pollution.”