Pennsylvania Governor Announces Plans to Fast-Track Energy Projects and Offer Tax Breaks
HARRISBURG, Pa. - Governor Josh Shapiro has unveiled plans to expedite the development of large-scale energy projects in Pennsylvania and provide substantial tax incentives for projects that generate electricity and produce hydrogen.
This announcement comes as the state faces an energy crunch that could result in increased electricity prices. Shapiro aims to enhance Pennsylvania's energy leadership and attract significant projects, including data centers and electric vehicle manufacturing facilities.
Key initiatives include:
* Establishing the Pennsylvania Reliable Energy Siting and Electric Transition Board to streamline permitting and support for new energy projects.
* Offering tax credits of up to $100 million annually for power plants producing electricity.
* Providing tax credits of up to $49 million annually for hydrogen producers and $15 million annually for sustainable aviation fuel producers.
These initiatives require legislative approval. Republican lawmakers have expressed concerns about Shapiro's energy policies, citing potential obstacles to the construction of large-scale natural gas-fired power plants.
Despite concerns, Shapiro intends to support projects such as CNX Resources' proposed $1.5 billion hydrogen-based fuel facility at Pittsburgh's airport. However, the project is contingent upon federal approval of coal mine methane for tax credits.
The growing demand for data centers and the shift away from fossil fuels have created a surge in energy needs. Shapiro's plans aim to meet these demands while addressing concerns about electricity supply and grid reliability.