Ford government to approve AI data centres ‘sooner rather than later’ amid moratorium calls

The Ford government in Ontario plans to approve its first wave of new AI data centres "sooner rather than later," despite mounting opposition from communities concerned about environmental and data sovereignty issues. Economic Development Minister Vic Fedeli confirmed the government has been receiving numerous proposals for new projects but has not set a timeline for approval.

Several communities have passed measures to halt data centre development due to noise, water usage, and environmental concerns. Green Party Leader Mike Schreiner is planning to introduce new legislation that would implement a moratorium on AI data centre construction until stricter guidelines are put in place. Schreiner argues that while Canada needs a sovereign data source, location alone does not guarantee data protection, as Microsoft data centers in Ontario would still be subject to U.S. laws.

NDP Leader Marit Stiles indicated that her party would support the Green Party's bill and highlighted communities like Oakville, Mississauga, and Sault Ste. Marie that have implemented a one-year moratorium on data centre development. Fedeli assured that the government's approach to data centres is to "do no harm to citizens" but did not specify whether municipalities would have veto powers.