Climate vs. Cash: Two AI Data Centre Booms Threaten to Drain Cities Dry

In Canada, companies are scouting locations for "hyperscale" data centres—giant facilities designed to power artificial intelligence. The question comes after New York paused new hyperscale data centres, and now Canadian provinces and territories are weighing whether to do the same [198052]. Hyperscale data centres require huge amounts of land and electricity. In Alberta, the future site of the Greenlight Electricity Centre in Sturgeon County will power a new Meta AI data centre. Supporters say the centres bring investment and jobs, but critics worry about energy strain and environmental costs. For now, no Canadian province has announced a moratorium, but the discussion is just beginning [198052].

Meanwhile, in India, a similar tension is playing out. India is racing to build massive data centers to catch up in artificial intelligence, but megaprojects planned near a coastal city could drain local energy and water supplies—without creating lasting jobs [197233]. Officials are pushing the data centers as a way to boost India’s lagging tech sector. Critics, however, warn that each facility consumes enormous amounts of electricity and water for cooling. They argue the projects will strain local resources while offering few long-term employment opportunities [197233]. The tension highlights a growing global dilemma: how to pursue AI progress without sacrificing environmental and community needs. For now, the coastal city faces a difficult trade-off between technological ambition and sustainability [197233].