Data centres: What are they and why so controversial in Canada?
The plan to transform part of Hamilton's industrial waterfront into an artificial intelligence data centre faced a setback last week when a key land-severance request was denied. Slate Asset Management, a Toronto-based firm that purchased roughly 800 acres of former Stelco land four years ago, aims to redevelop Steelport into a world-class industrial park focused on jobs, economic growth, and environmental sustainability. The project is pitched as a major regional boon, with Slate projecting up to 23,000 new jobs across the Greater Toronto and Hamilton Area and as much as $3.8 billion in economic impact for Ontario. The proposal went before the city’s committee of adjustment ahead of a hearing on the severance. During the hearing, tribunal member Robert Reid noted the severance application met regulatory requirements. Yet residents opposed AI infrastructure, delivering thousands of messages and marching outside Hamilton City Hall. In a 3-0 ruling, the tribunal denied the land severance, leaving Slate with two main options: appeal the decision to the Ontario Land Tribunal or proceed with development without breaking up the parcel. The dispute unfolds as Canada debates AI’s footprint, particularly its energy and water demands and potential noise. York University researchers record five AI data centres already operating in Canada—two in British Columbia and one each in Ontario, Quebec, and New Brunswick—adding context to the controversy.
