DEP Quarterly Kicks Off 2026 With Focus on Energy, Data Centers, and Infrastructure Readiness

The PA Chamber’s first DEP Quarterly of 2026 brought together business leaders and state regulators for a timely and focused discussion on energy and environmental policy and the impact on Pennsylvania’s economy.

PA Chamber President and CEO Luke Bernstein opened the meeting by welcoming members both in person and online. He emphasized the importance of “getting it right” in energy sustainability and data center development, noting that Pennsylvania has a generational opportunity to become a global leader in innovation. Bernstein underscored energy’s critical role in development and job creation across the Commonwealth and the nation.

Department of Environmental Protection (DEP) Executive Deputy Secretary Ramez Ziadeh highlighted recent agency changes, including the creation of the Offices of External Affairs and Permitting Coordination. The latter oversees the SPEED program, which was expanded last year and has already issued several permits in record time. Ziadeh noted that the program has also produced guidance materials and training modules to help applicants better meet DEP expectations.

He added that DEP’s website now includes a dedicated SPEED tab with direct links to all information applicants need to track the status of their permits. Ziadeh also outlined two funding requests in the proposed 2026–27 state budget: $20 million to bolster the Hazardous Waste Cleanup Fund – while stressing the need for a sustainable long-term funding source – and $19 million for the Oil and Gas Plugging Fund to support administration of the oil and gas management program.

Looking ahead, Ziadeh said to expect a concrete proposal from the Shapiro administration in the coming weeks related to data center development. He noted the administration’s interest in approving facilities that use water-conserving cooling technologies and said the state is exploring incentives to encourage responsible development. DEP is currently tracking approximately 35 data center proposals statewide, with about 17 in various stages of permitting (not all are expected to move forward). He also referenced a Chapter 105 permit application for a data center in northeast Pennsylvania.

“We want these centers to be good community partners,” Ziadeh said, adding that DEP is working with local leaders to identify opportunities for positive community impact.

Pennsylvania Public Utility Commissioner Katie Zerfuss – who recently completed her first term as Commissioner and has been nominated for a second term by Gov. Shapiro – followed with remarks on the importance of gathering information from all stakeholders as data center development progresses. She emphasized that the PUC carefully reviews testimony as part of its decision-making process and evaluates each matter on a case-by-case basis. On load forecasting, Zerfuss said the PUC has engaged a consultant to help develop a report that will inform feedback to PJM.

“We need to get this right to know what we’ll be serving in the future,” she said.

That work includes mapping infrastructure needs to ensure energy supply can meet future demand as part of the PUC’s long-term strategy. Zerfuss also shared her hope that future development can balance growth with preservation of Pennsylvania’s agricultural heritage. Noting that the Commonwealth is energy rich, she said she believes renewable natural gas can and should be part of the solution. With thoughtful planning, she added, Pennsylvania can support economic development, data centers, and reliable service while advancing environmentally responsible outcomes – so long as stakeholders move forward together with a shared, strategic vision.

The meeting concluded with remarks from Stephen Bennett, Senior Manager of Regulatory and Legislative Affairs at PJM Interconnection. Bennett highlighted PJM’s role as a Pennsylvania employer, with approximately 1,000 employees – many recruited from Pennsylvania colleges and universities – and its responsibility for maintaining reliable electricity across 13 states and the District of Columbia. He cited PJM’s performance during extreme events, including blackouts and winter storms, and the approximately $5 billion in value generated through scale, diversity, and fleet optimization.

Bennett described the rapid growth of generative AI data centers as a paradigm-shifting challenge, noting that the energy system must adapt to provide affordable, reliable electricity to support this technological revolution. He said pressure from federal and gubernatorial leadership across PJM’s footprint underscores the urgency of modernizing grid operations. While precise load forecasting is increasingly difficult due to the pace of change, Bennett emphasized the importance of collaboration and multilevel planning. He also noted that some data centers can operate flexibly, adjusting computing schedules or bringing generation online. Others cannot, and this requires additional coordination to manage grid stress. Echoing earlier remarks, Bennett stressed that continued infrastructure development will be essential if Pennsylvania is to meet future energy demands.

The PA Chamber thanks gold sponsors Eckert Seamans and Bentley Systems for their long-standing support of DEP Quarterly.

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Founded in 1916, the Pennsylvania Chamber of Business and Industry is the state's largest broad-based business association, with its membership comprising businesses of all sizes and across all industry sectors. The PA Chamber is The Statewide Voice of BusinessTM.