House Energy Committee advances bill to address energy affordability

Also hears testimony on increasing transparency & reporting requirements for data centers

Rep. Kyle Mullins February 3, 2026 | 10:05 AM

HARRISBURG, Feb. 3 – On Monday, the PA House Energy Committee voted to advance legislation aimed at protecting consumers from rising costs associated with data center projects. Separately, the committee heard testimony on bills that would enhance reporting and transparency from data centers and provide local officials with a model ordinance to guide responsible development.

Data center projects are rapidly proliferating nationwide due to the explosive growth of artificial intelligence, machine learning, and video streaming.

As chair of the House Energy Committee, state Rep. Elizabeth Fiedler, D-Phila., has made it a priority to shield consumers from bearing additional costs related to these projects.

“People’s bills are too high. We need to do everything we can to keep bills down and ensure the heat and lights come on when Pennsylvanians need them,” said Fiedler. “Affordability and reliability are at the heart of the work we are doing on the Energy Committee, and these bills are a key part of that. Without accountability, big for-profit tech companies could try to push more costs onto everyday consumers.”

The Data Center Consumer Protection Bill (H.B. 1834), sponsored by state Rep. Robert Matzie, D-Beaver, was amended and approved by the committee. A public hearing on the bill was held in October 2025. If enacted, the legislation would protect ratepayers by establishing a regulatory framework for data centers operating in Pennsylvania.

“Today’s vote brings us one step closer to protecting ratepayers,” said Matzie. “Data centers can bring jobs and expand the local tax base, but if unchecked, they can drive up utility costs. Electric bills are already too high. House Bill 1834 directs the PUC to establish common-sense guardrails so that data centers don’t make them any higher.”

The committee also held a public hearing on H.B. 2150, sponsored by state Rep. Kyle Mullins, D-Lackawanna, and H.B. 2151, sponsored by state Rep. Kyle Donahue, D-Lackawanna, with participation from environmental groups, industry representatives, and local governments.

If enacted, H.B. 2151 would direct the Department of Community and Economic Development to create a model ordinance that municipalities may choose to adopt wholly or in part. Adoption would be optional and fully at the discretion of local officials.

“The rapid growth of data centers across our state has real impacts on the neighborhoods around them. That growth shouldn’t come at the expense of the people who live, work, and go to school nearby,” said Donahue. “Currently, communities lack clear standards to address noise, size, water usage, and other impacts from these facilities. House Bill 2151 gives municipalities the tools they need to ensure data centers are responsibly sited and operated while protecting residents’ quality of life with commonsense rules tailored to local conditions.”

Ron Grutza, senior director of government affairs for the Pennsylvania State Association of Boroughs, praised H.B. 2151 as a “critical resource for communities seeking to protect their character, plan responsibly, and manage emerging land uses.” He noted that the model ordinance would help municipalities reduce costs and increase consistency in planning for data center development.

If enacted, H.B. 2150 would establish annual energy and water reporting requirements for data centers, giving policymakers the information needed to set appropriate regulatory guardrails.

“If data centers want to operate in Pennsylvania, they need to be upfront about how much water and power they plan to use,” said Mullins. “This legislation brings transparency and accountability to an industry that has grown with minimal oversight.”

Robert Routh, Pennsylvania policy director for Climate and Energy at NRDC, testified in support of H.B. 2150, emphasizing the importance of statewide reporting requirements as data center growth accelerates. He called the bill “a commonsense proposal that promotes a data-driven approach to energy policy and enables informed, proactive measures to protect consumers, the grid, and our climate.”

Data center regulation has received bipartisan support in other states, including Texas, Georgia, Minnesota, and Nevada.

Public Hearing: