CKMS News -2026-08-13- AI Boom Raises Questions as Waterloo Region Studies Data Centre Impacts

Eren Yoruk

Kitchener, ON — Waterloo Region Council has unanimously passed a motion to study the potential impacts of future data centre development in the Region, following concerns raised by residents about water use, electricity demand and infrastructure.

Regional Councillor Colleen James brought the motion during Tuesday’s Sustainability, Infrastructure and Development Committee meeting. It directs Regional staff to examine the economic, environmental, infrastructure and fiscal implications of data centres, as well as community safeguards and best practices in other jurisdictions.

The council approved the motion with two amendments, including additional consideration of source water protection and impacts on traditional lands. Regional staff will report their findings back to Council by the first quarter of 2027.

The discussion comes as the rapid growth of artificial intelligence drives demand for larger and more energy-intensive data centres across Canada and beyond.

Waterloo Region already hosts data centres, including Ascent’s facility in Cambridge. James says the motion is not intended to approve or reject any specific project, but to help the Region understand how future facilities could affect its infrastructure and environment.

Residents who spoke at the meeting raised particular concerns about water consumption and the Region’s reliance on groundwater.

James says the goal is to gather information now so future councils can make informed decisions about data centre development.