Pennsylvania Approves On-Site Gas Generators to Power New AI Data Center
February 2, 2026
The relentless energy demands of artificial intelligence are reshaping the power infrastructure landscape, pushing data center developers to seek immediate and scalable solutions beyond the strained electrical grid. In a move emblematic of this trend, Pennsylvania regulators have greenlit a project that will use fossil fuels directly at the source to power advanced computing. The Pennsylvania Department of Environmental Protection has issued a permit to Iron City Wells LLC for the construction and installation of 15 natural gas-fired electric generators. These units are designated to provide primary power for a new AI data center, referred to as a "computing center," at the Iron City No.1 Power Generator and Compute Center facility in Karthaus Township, Clearfield County. The approval, documented in the state's official Pennsylvania Bulletin, includes stringent requirements for emission limits, monitoring, and reporting. The scale of the project is significant, with the permit capping annual emissions from the 15 generators. Limits include just under 20 tons of nitrogen oxides, over 29 tons of carbon monoxide, and more than 51,700 tons of carbon dioxide equivalent. The Department noted that Iron City Wells has indicated the planned "air contamination source" will comply with all applicable air quality regulations. This decision underscores a pivotal shift in the data center industry's approach to energy sustainability. While the sector has historically championed renewable energy procurement, the explosive, power-intensive growth of AI computing is creating an unprecedented surge in demand. Natural gas, seen by many developers as a readily available and reliable bridge fuel, is increasingly becoming the frontrunner for new projects where grid capacity is insufficient or connection timelines are prohibitive. The Pennsylvania permit illustrates the practical compromises being made to rapidly deploy AI infrastructure, balancing economic development with environmental oversight in an era of intense technological competition.
Source: datacenterdynamics
