Governor Shapiro Files Intervention Petition in PUC Case to Protect PPL Customers from Higher Electricity Costs and Hold Data Center Developers Accountable for Their Energy Usage

Governor Josh Shapiro is seeking to intervene in a PUC case filed by the Pennsylvania Office of Consumer Advocate to ensure data centers pay their fair share of electricity costs and protect Pennsylvanians from reliability risks.

 

The filing advances the Governor’s Executive Order on data centers, which directs the Special Counsel for Energy Affordability to engage with the PUC to prevent data centers from shifting costs to other customers and to protect reliable electric service.

Harrisburg, PA – Yesterday, Governor Josh Shapiro filed a petition with the Pennsylvania Public Utility Commission (PUC) to intervene in a proceeding challenging PPL Electric Utilities’ current rate structure, a crucial action to help protect Pennsylvania electricity customers from rising costs and reliability risks associated with data center development in the Commonwealth. The petition marks the first time in at least 15 years that a governor has intervened in a PUC proceeding.

The Governor’s petition supports a complaint filed by the Pennsylvania Office of Consumer Advocate (OCA), which argues that PPL’s current rates, service classifications, and procedures do not adequately protect existing customers from paying costs caused by large data centers or from potential outages, especially as large data centers increase electricity demand. OCA is asking the PUC to require PPL to revise its rates and rules to address these concerns.

“Pennsylvanians should not be left paying higher electric bills because of data center developers,” said Governor Shapiro. “As these projects bring new demand to our electric grid, we must make sure the companies driving those costs pay their fair share and that families, small businesses, and Pennsylvania employers can continue to afford their utility bills while counting on reliable electricity. This is yet another action my Administration is taking to protect consumers and hold data center developers accountable.”

Through this petition, Governor Shapiro is seeking formal party status in the PUC proceeding, which would allow his Administration to present evidence, make legal arguments, and participate directly in the case. The Administration is joining the case to advocate for stronger protections that ensure data centers pay for the electric system costs they cause and that existing customers are protected from reliability risks caused by data centers.

Among other measures, the Governor will advocate for PPL to establish a separate customer class for large data centers and to allocate costs caused by their electricity demand to that data center class. The petition also supports stronger requirements for data center-related transmission upgrades, costs associated with regional electricity reliability and resource adequacy programs, and safeguards that protect existing customers if electricity supply cannot meet demand.

Advancing Governor Shapiro’s Executive Order to Protect Pennsylvanians from Data Center Development

The petition advances Governor Shapiro’s ongoing work to protect Pennsylvanians from the impacts of data center development. In August, he signed Executive Order (EO) 2026-05, Protecting Pennsylvanians from Data Center Impacts, formalizing the Governor’s Responsible Infrastructure Development (GRID) Requirements — the strictest data center requirements in the nation — and directing Commonwealth agencies to implement strong protections for communities, electricity customers, and the environment. The requirements are designed to ensure data center developers are responsible for the costs and impacts of their projects, rather than shifting them to Pennsylvania families and businesses.

The EO specifically directs the Governor’s Special Counsel for Energy Affordability to engage with the PUC to prevent data centers from shifting electricity costs to other customers and to protect the reliability of electric service. That work includes developing protocols to prioritize data center curtailment if the grid is stressed, ensuring data centers pay costs associated with PJM reliability backstop auctions, and improving the forecasting and transparent disclosure of data center electricity demand.

Under the GRID Requirements, data center developers must pay the full cost of the new electricity generation, transmission, distribution, and other infrastructure needed to power their projects. The Governor’s EO establishes a framework for turning those protections into action, and his petition seeks to advance that work through the PUC proceeding.

The Governor’s petition explains that Commonwealth agencies are themselves PPL customers and major consumers of electricity, giving the Administration a direct interest in the outcome of the proceeding, alongside its broader responsibility to protect the public interest.

The Shapiro Administration will continue working to ensure that data center development does not come at the expense of Pennsylvania families, businesses, and communities. The Administration will pursue strong, enforceable protections so that data centers are held responsible for the costs and reliability impacts they create.

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