Governor Shapiro Releases Key Details on “GRID” Principles to Manage Data Center Growth and Challenges

HARRISBURG, PA – Governor Josh Shapiro’s 2026-27 budget address included the new Governor’s Responsible Infrastructure Development (GRID) principles, which are intended to establish best practices for data center projects to qualify for support from the Commonwealth. The four principles (energy affordability, transparency and community engagement, workforce and economic development, and environmental protection) incentivize data centers to protect ratepayers and the grid. 

Separately, the Pennsylvania Public Utility Commission (PUC) recently released its large load model tariff, which aligns with the GRID standards. The model tariff lays out voluntary suggestions and best practices to manage interconnection agreements between electric utilities and large load customers like data centers. 

The following statement is from Robert Routh, Pennsylvania policy director, Climate & Energy, at NRDC (Natural Resources Defense Council): 

“Pennsylvania is faced with unprecedented challenges and opportunities related to data centers – new ‘large loads’ characterized by their significant demands for electricity and water. Governor Shapiro has put a clear stake in the ground. Any data center developer that wants certainty about speed-to-market in Pennsylvania must commit to fully paying for their energy needs. That includes bringing all new capacity – with targets for clean firm energy resources and battery storage – and paying for all associated grid infrastructure upgrades while also being built ‘solar ready.’ 

“Governor Shapiro recognizes that data centers’ unmitigated energy consumption could cost consumers tens of billions of dollars and risk life-threatening power outages. Coupled with the PUC’s recently finalized model guidance on large load interconnections, Pennsylvania is taking important steps to advance energy affordability. Nevertheless, the most significant and effective state guardrails will have the full force of law. Next, the General Assembly must put House Bill 1834 on Governor Shapiro’s desk and amend existing tax law to fully implement the GRID principles.” 

NRDC (Natural Resources Defense Council) is an international nonprofit environmental organization with more than 3 million members and online activists. Established in 1970, NRDC uses science, policy, law and people power to confront the climate crisis, protect public health, and safeguard nature. NRDC has offices in New York City, Washington, D.C., Los Angeles, San Francisco, Chicago, Beijing and Delhi (an office of NRDC India Pvt. Ltd).