WASHINGTON, D.C. — The U.S. Environmental Protection Agency (EPA) is rolling out a permitting reform aimed at accelerating construction timelines for power generation, manufacturing, and data center projects seen as essential to U.S. energy security and competitiveness.
EPA Administrator Lee Zeldin announced the new guidance under the New Source Review (NSR) preconstruction permitting program, clarifying what activities can begin before a Clean Air Act (CAA) permit is finalized. The move is designed to provide developers flexibility, reduce delays, and encourage reshoring of advanced manufacturing and critical infrastructure.
With the updated policy, companies will be able to start certain non-emissions-related site work—such as grading land or installing cement pads—before a final air permit is issued.
“For years, Clean Air Act permitting has been an obstacle to innovation and growth,” said EPA Administrator Zeldin. “We are continuing to fix this broken system. Today’s guidance is another step to allow the build out of essential power generation, data centers, and manufacturing projects that will bring about America’s Golden Age.”
The NSR program, created under the Clean Air Act, requires stationary sources of air pollution to obtain permits before construction begins. While the rule has historically applied to both new projects and modifications of existing facilities, industry leaders have argued that the permitting process is slow, complex, and discourages investment in large-scale projects.
EPA’s new interpretation will distinguish between emissions units—such as boilers, turbines, or industrial stacks—and non-emissions-related construction like foundation work or electrical infrastructure. The agency intends to codify this change through a rulemaking that revises the definition of “Begin Actual Construction” in NSR regulations.
Supporters of the change say it will cut down on costly delays without compromising environmental protections, as emissions-related equipment will still require full review before installation.
The reform is part of Administrator Zeldin’s Powering the Great American Comeback Initiative, which aligns with the Trump administration’s push to make the U.S. the global leader in artificial intelligence and advanced manufacturing.
“Making America the AI Capital of the World” has been positioned as a central pillar of the administration’s strategy. In July, Zeldin joined President Trump at the Pennsylvania Energy & Innovation Summit, where industry partners pledged more than $90 billion in investments in the Keystone State to expand energy infrastructure and support the AI revolution.
EPA emphasized that while permitting reform is designed to unleash new data center construction and power generation, it remains committed to its core mission of protecting human health and safeguarding the environment.
The proposed rulemaking process will invite comments from states, industry groups, and environmental organizations. If finalized, the revised definition is expected to provide the construction sector with greater certainty on project timelines, ensuring developers know exactly which activities require NSR approval and which can move forward immediately.
The agency framed the action as a balance between regulatory flexibility and environmental responsibility—a move aimed at fueling economic growth while reinforcing America’s position in global energy and technology leadership.
Originally reported by EPA Press Office in EPA United States Environment Protection Agency.