Jobs and energy
Few Democrats have anticipated the data center zeitgeist as deftly as Shapiro. Shortly after taking office in 2023, he ordered an analysis of where the state and U.S. economies were headed. AI jumped out as a key opportunity, a top adviser said.
“Not just because we thought it was cool, but because we have strengths,” said Rick Siger, a former Obama staffer who serves as Shapiro’s secretary of community and economic development.
Carnegie Mellon University, a top engineering and technology school, was a selling point. So was the state’s manufacturing base, which makes hardware for data centers and boasts tech companies that will deploy advanced AI. Shapiro’s team fixated on what major developers were after. “Speed matters, in particular to companies that are competing in AI,” Siger said.
In June 2025, Shapiro announced Amazon’s $20 billion investment in two data center complexes: one in the Philadelphia suburbs of Bucks County and another south of Wilkes-Barre.
“The employees will be making, in some cases, double the average wage in that county,” Siger said, “to work in a high-tech job and be able to stay home and raise their kids in their hometown.” The data center piece of the AI juggernaut also works well for Shapiro’s union-heavy constituency. He toured Steamfitters Local Union 420’s training center in Philadelphia earlier this month, which is training apprentices to install cooling systems for the computer chips packed in wall-to-wall racks inside the cluster of AI factories being developed in Bucks County.
Rory Carroll, a 42-year-old steamfitter who was among the trainees greeting Shapiro, said he’s “tried everything” to make a living. “I sold cars, delivered pizza, managed a supermarket.” Now, he says he’s on a rising tide.
Local officials in Bucks County — which Trump flipped red in 2024, for the first time since 1988 — are wary but welcoming.
“Do I think the trend of technology replacing jobs will continue with the data centers? Of course I do,” said Erin Mullen, vice chair of the Falls Township Board of Supervisors. But she said the temporary construction jobs were worth pursuing. “This is a blue-collar township,” Mullen said. “So even though the jobs are temporary, a lot of families here survive on temporary jobs, and this is huge for the trades.”
Data centers’ demand for energy also works for Shapiro, who’s been touting the state’s large natural gas reserves in talks with tech companies. Last summer, he joined Trump and the state’s Republican senator, Dave McCormick, in Pittsburgh to announce multibillion-dollar commitments for restarting aging hydropower and expanding electricity generation from nuclear and natural gas.
Now, after cuts to federal renewable energy tax credits, he’s still touting Pennsylvania energy — with a partisan edge.
“I’m an ‘all-of-the-above’ energy governor,” Shapiro said in the POLITICO interview. “Unfortunately, the president of the United States has cut hundreds of millions of dollars from clean energy development in this commonwealth, which has cost us 26,000 union trade jobs who were set to work on these projects.”
“I don’t think it’s an either-or — it’s a both-and,” he continued. “We need to generate more power. Yes, it will rely in part on Pennsylvania natural gas. We also need to generate more power with renewables.”
Power politics
Shapiro’s call for data center developers to pay for electricity infrastructure that could drive up utility bills echoes the Trump administration’s recent rhetoric exhorting them to “pick up the tab” — but Shapiro’s focus on power bills was a long time coming.
In July 2024, as Shapiro was chasing Amazon, mid-Atlantic ratepayers were hit with a $14.7 billion, one-year charge from PJM Interconnection, the region’s electricity grid manager. The double-digit cost increases in utility bills came as a result of projections that electricity supplies could fall short of demand across the 13-state region stretching from northern Virginia to Chicago.
Shapiro demanded a price cap in December 2024 on the fastest-rising part of PJM customers’ electricity bills — a headline-grabbing event in Pennsylvania. And he’s threatened to pull Pennsylvania out of the PJM market all together, a major uprooting of the way power is delivered in the region. He’s attacked PJM for its byzantine utility-heavy leadership structure that leads to a sclerotic response to rising power prices.
