Data Centers

A data center is a building that houses powerful computers and digital storage. They are used to run cloud services, like email, online commerce, social media, and streaming services, and to train and deploy artificial intelligence (AI). Massive data centers are being proposed throughout Pennsylvania.

Due to their large electricity demands, data centers can have dramatic impacts on the electric grid’s stability and energy affordability. Their potential water usage, noise, and emissions can also negatively affect our communities.

Municipalities in Pennsylvania may not entirely exclude legal land-uses, but they can regulate where a type of development is located through zoning. Local governments can play a big role in data center development because of their authority to make land-use decisions, especially through zoning and ordinances. There are opportunities for local governments and community members to influence where and how they are developed to minimize negative impacts. 

Our Work

We are working to understand the potential risks of data center development in Pennsylvania and considering how to best mitigate negative impacts through smart policy and legislative solutions. 

Take Action

-- PA House Bill 1834 has passed the House. As large-scale data center development accelerates across Pennsylvania, this bill begins to put important safeguards in place to protect our electric grid, our communities, and ratepayers. 

-- PA House Bill 2150 requires annual reporting of data center energy and water use. PA House Bill 2151 provides a model ordinance to help municipalities manage data center development. Unfortunately, there has been some confusion about HB 2151. To be clear, using or adopting the model ordinance is optional, not mandatory. It is a tool for municipalities, not a limit on local authority, and it does not provide special rights or incentives to data centers. These two bills are not the final word on data center policy but they are important first steps toward transparency, local control, and informed decision-making. Ask your state legislators to support smart, first-step data center oversight!

-- Additional Key Data Center Legislation Advancing in Pennsylvania: We are tracking these bills, providing input to lawmakers, and advocating for strong provisions that protect clean water, clean air, affordable energy, and meaningful local control.

  • HB 2246: Amends state water resources planning laws to direct DEP to develop a specific permitting and reporting framework for data center water withdrawals. This integrates these facilities into the State Water Plan and helps evaluate and manage impacts on local water supplies and other users.
  • HB 2198: Repeals the Computer Data Center Equipment Incentive Program in the Tax Reform Code, eliminating sales tax exemptions and other incentives currently available for data center equipment purchases. This removes taxpayer subsidies that have helped fuel the industry’s rapid growth.
  • HB 2650: Would tie eligibility for data center tax incentives to certification under the Governor’s Responsible Infrastructure Development (GRID) standards. Certification would require commitments to energy affordability for ratepayers, community engagement, workforce development, environmental protection, and transparency.
  • HB 2496: Amends the Municipalities Planning Code to allow local governments to adopt a temporary pause (up to 180 days) on the review of data center land-use applications. This gives municipalities critical time to study local impacts on infrastructure and resources and update zoning ordinances without being rushed by pending proposals.
  • HB 2359: Strengthens transparency requirements tied to the data center tax incentive program by addressing non-disclosure agreements (NDAs) that developers have used with local officials to keep key project details hidden from the public. This helps ensure communities have access to information about proposed facilities.

-- PJM is seeking approval from FERC about how it connects large electricity users like data centers. Tell FERC: Don't let Big Tech's data centers increase power costs and compromise the grid!

-- Check out The Briefing Series for legislative updates.

-- Connect with your local Sierra Club group or visit the Conservation Teams' Data Center Resources page developed by our volunteers.