The City of Ottawa is set to develop a new policy for data centers following a unanimous decision by councillors to be informed in advance about major “hyperscale” projects, allowing them the opportunity to temporarily halt such initiatives. The initiative, proposed by Rideau-Vanier Coun. Stéphanie Plante during a council meeting, highlighted the absence of specific guidelines for data centers in Ottawa’s primary planning document, despite their allowance in certain industrial zones based on zoning regulations.
Plante emphasized the need to strike a balance between those advocating for a complete ban on data centers and those advocating for supportive measures for companies in the sector. She clarified that the motion aims to find a middle ground between the two extremes and is not anti-data center.
While critics have raised concerns about the significant water and power consumption of data centers, Plante highlighted the potential benefits to the community, such as increased tax revenue. The motion directs city staff to create a framework for evaluating data centers based on their size, impact, and environmental standards, with the final proposal scheduled for city council review next year.
In the interim, Plante requested that council be notified of any applications for “hyperscale data centers” to enable councillors to implement an interim control bylaw if necessary. Marcia Wallace, the city’s general manager of planning, development, and building services, explained that such a bylaw would enable the city to halt applications pending the establishment of a formal framework.
Debbie Stewart, the general manager of strategic initiatives, defined hyperscale data centers as large facilities consuming a minimum of 50 megawatts of power, typically catering to AI applications. Hydro Ottawa reported facing substantial demand from numerous large-load customers, primarily from data centers.
Addressing the motion’s passage, Beacon Hill-Cyrville Coun. Tim Tierney expressed satisfaction that it did not propose a moratorium, noting ongoing efforts by federal and provincial authorities to formulate regulations and policies for data centers. Earlier this year, Hamilton city council rejected a similar moratorium proposal.