Pennsylvania Budget Mandates Data Center Energy Disclosures

Pennsylvania lawmakers approved a $50.8 billion state budget that includes a single regulation for data centers. The measure requires facilities using more than 10 MW of electricity annually to disclose their energy and water usage. However, the budget preserves a sales tax exemption for data centers that is projected to cost the state $2 billion in revenue by mid-2031.

Matt Bradford, the State House Majority Leader, and Governor Josh Shapiro's administration criticized Senate Republicans for failing to enact more comprehensive regulations. Several proposed bills, including measures to ban certain tax breaks and allow local development pauses, failed to pass. Representative Rob Matzie also sponsored a bill to mandate clean energy usage and regulate utility interactions, which did not move forward.

Senate Majority Leader Joe Pittman defended the Senate's position, arguing that the budget's disclosure requirements addressed transparency needs. While Pittman expressed openness to further discussions regarding local moratoriums, he rejected claims that the Senate was blocking a meaningful consensus. Environmental advocates, including the Sierra Club, continue to push for substantive policy changes beyond simple reporting requirements.