Hamilton to Vote on Canada's First Data Centre Moratorium

The Hamilton City Council is scheduled to vote on July 15, 2026, on a proposal to implement a one-year moratorium on new data centres. If passed, Hamilton would become the first Canadian city to enact such a pause. The proposal, sponsored by Councilor Nrinder Nann, seeks to establish governance and regulatory guardrails regarding the energy, noise, and water usage driven by the artificial intelligence boom.

The movement follows public backlash and the June rejection of a developer's application to sever land at the Steelport industrial site for a data centre campus. While the Digital Research Alliance of Canada and McMaster University are seeking exemptions for smaller research facilities, critics of these exceptions argue for community-led oversight. Conversely, Slate Asset Management has appealed the land-use rejection and warns that a moratorium could deter investment.

This local debate reflects a broader trend across Ontario. Municipalities in Mississauga, Burlington, and the York Region are considering similar pauses or impact studies. The provincial government previously addressed these concerns by passing the Protect Ontario by Securing Affordable Energy for Generations Act in December, which requires provincial approval for grid connections to ensure projects pay full energy costs and benefit the local economy. Similar moratorium debates are expected in Vancouver later this month.