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Pennsylvania Gov. Josh Shapiro on May 27, 2025 announced a plan to attract the development of data centers in the state with incentives for operators that commit to reducing their impacts on the electric grid and the environment.

Under Shapiro’s proposal, developers could receive perks like tax incentives and streamlined permitting only if they take steps to reduce their impact on the environment and electric grid and invest in communities.

Previously the Pennsylvania Department of Environmental Protection (DEP) published a Request for Information for new energy generation and storage projects in Pennsylvania that will be eligible to quickly enter service, rapidly adding more power to the electric grid and preventing higher energy costs for Pennsylvanians.

Specifically the DOE seeks input on potential large-scale energy generation or storage projects that could qualify for PJM Interconnection’s Expedited Interconnection Track, or EIT, process. The RFI is aimed at identifying developers capable of designing, constructing, and operating projects that could quickly add energy capacity to Pennsylvania’s power grid. PJM proposed the process in February to accelerate the review of up to 10 large projects annually over the next two years. The grid operator intends to open an EIT by August 2026 to enable eligible projects with sponsorship from the state in which they are located to secure interconnection agreements within 10 months of application.

Highlights of the Request for Information (RFI) include:

Submission Deadline: Interested developers must submit their responses to the DEP by June 5, 2026. 

• Project Requirements:Eligible projects must propose new or uprated capacity of at least 250 MW, demonstrate complete site control, and prove they can achieve commercial operation within three years of filing.

• State & Federal Goals:The DEP seeks to determine private sector interest, align project pipelines with Commonwealth energy goals, and explore the potential use of federal financing programs.

 A DEP press release says that the “Commonwealth stands ready to sponsor eligible Pennsylvania-based projects in the EIT to continue Pennsylvania’s legacy of energy leadership. Examples of energy generation and storage projects that may be eligible include a wide spectrum of all-of-the-above opportunities for new generation, including, but not limited to, solar power plants; wind generation plants; advanced thermal generating units; hybrid facilities; and battery energy storage systems.”

“DEP is also seeking information from large-scale energy generation or storage projects that have determined they do not meet PJM’s proposed requirements to better understand why and what opportunities might be available for future projects, as well as feedback on the potential use of loans or loan guarantees to support energy project deployment and infrastructure investments in Pennsylvania through the United States Department of Energy’s Energy Dominance Financing Program.”

The full RFI is available to view in the PA Bulletin(opens in a new tab). DEP encourages potential developers to submit a written response to ra-epenergy@pa.gov  by Friday, June 5, 2026. Submissions will be reviewed on a rolling basis. Developers may also ask pre-submittal questions at the same email address. Please include “DEP RFI Energy Projects” in the email subject line.