County, Province decline to confirm or deny alleged data centre meeting

HALDIMAND—The Haldimand Press recently received information that County representatives discussed the concept of AI data centres with members of the provincial government at last month’s Association of Municipalities of Ontario (AMO) conference.

The source said a possible closed-loop data centre in the vicinity of Nanticoke was included in discussions.

Ahead of the August 25, 2026 Council meeting, The Press asked Haldimand County if AI data centres would be included in the staff report on AMO. County spokesperson Erin Haase said “that item is not on the agenda,” noting the report was a “high-level summary of meetings and discussions … not a comprehensive record of every topic discussed.”

Asked to clarify whether a meeting took place regarding AI data centres at AMO, Haase replied, “The County has no further comments beyond what’s already been provided.”

HAGERSVILLE—The above screenshot from a now-deleted website depicted SPUR Innovation’s concept for a 350-acre data centre in Hagersville. SPUR has since said the webpage was posted in error and that no such project is planned.

The Press contacted the Ministry of Energy and Mines. Representative Robert Quarterone shared a recently released provincial framework for data centres but also declined to comment on any such discussion at AMO with Haldimand.

The draft data centre playbook is based on three priorities: economic development; data security and digital sovereignty; and benefits to host communities. It states projects must provide significant investment, jobs, tax revenue, and community benefits, while also paying the full cost of their electricity.

“Ontario will only advance data centre projects that meet Ontario’s strict environmental standards around water consumption and noise, prioritizing projects with closed-loop systems that use virtually no water during operation,” read a provincial news release.

In November 2024, the Independent Electricity System Operator (IESO) released the Burlington to Nanticoke Integrated Regional Resource Plan, a 20-year planning document covering Haldimand, Norfolk, Brant, Brantford, Hamilton, Burlington, and Oakville, outlining forecasted electricity needs from 2023-2042. It details growing electricity demand, in part due to industrial expansion and housing development.

An appendix released March 10, 2026 recommends a new 230-kilovolt double-circuit transmission line from the Nanticoke Transformer Station toward Simcoe to supply additional capacity. It states the new line could “support decarbonization plans, data centre connections, and economic developments,” with connections along the line identified as the Norfolk-Bloomsburg area, the Jarvis CTS1 (Caledonia Transformer Station) area, and the Nanticoke 230-kilovolt path.

“This option is preferred since it can address the needs for multiple areas, including possible growth due to industrial projects or AI/data centers in the vicinity of Nanticoke TS,” the IESO report states.

IESO spokesperson Michael Dodsworth said the Burlington-to-Nanticoke region is growing quickly, and IESO has been engaging with communities, local distribution companies, and electricity customers as it plans to increase supply and support economic growth.

He said that, for confidentiality reasons, IESO cannot provide further breakdowns on load types beyond what is in the report.

“IESO’s planning processes are designed to address immediate system needs while ensuring Ontario’s electricity grid can accommodate a range of future growth scenarios. The line was recommended in 2024 for reasons unrelated to data centres. Since then, potential data centre projects have been proposed across the province, and the additional capacity provided by the line could support this development should it proceed,” said Dodsworth.

The Press asked IESO to confirm whether it is aware of any significant expressions of interest related to possible data centres in Haldimand. No response was provided to that question.

The Press contacted all Haldimand Council members for their view on potential AI data centres locally.

Ward 2 Councillor John Metcalfe said, “Haldimand has industrial land, so why not use it for industrial purposes? The tax levy could also put less burden on farms and residential properties.”

Ward 3 Councillor Dan Lawrence said many municipalities have been contacted about housing data centres. He said many factors must be considered, such as available power and the impact on local waterbodies.

“If all environmental concerns and issues can be satisfied by due diligence for the Nanticoke Industrial lands, yes, I would support it,” he said. “More jobs, high industrial taxes, potentially an enormous windfall for all Haldimand residents to benefit from in the future.”

Ward 5 Councillor Rob Shirton is optimistic about newer, more efficient technology potentially reducing the environmental impact of data centres.

“If that’s the case, I can probably support it,” said Shirton, listing potential jobs and tax revenue among the benefits. “I’m open to at least exploring what they can and can’t do. And I think in the next six months we’re going to know more information than we have today…. We’ve got to make sure that the checks and balances are in place.”

Previously, Mayor Shelley Ann Bentley told The Press she believes the need exists for Canadian data centres to store Canadian data but warned there would be “much discussion in our community about these before any decision is made at Council.”

Bentley and Councillors Debera McKeen, Brad Adams, and Patrick O’Neill did not respond to this request for comment.

Several Ontario municipalities are considering restrictions on data centres. Oakville enacted a one-year moratorium on data centre development on August 11, while councils in Mississauga, Sault Ste. Marie, and Centre Wellington have directed staff to prepare interim control bylaws to restrict or pause such development.

Nick Tsergas founded Stop the Data Centres after learning of a planned hyperscale AI data centre near his Hamilton home. The campaign initially led to a 15-1 Hamilton City Council vote in June favouring a one-year moratorium. However, that decision was overturned in July with a 10-6 vote.

Tsergas said the effort drew national attention and he spoke with many others on fighting AI data centre development in their communities.

He said municipalities currently treat data centres much like warehouses. He noted that AI facilities differ from traditional data centres as AI requires graphics processing units (GPUs), which consume significantly more electricity and generate more heat.

“We don’t have any regulations for a facility like that, which is very novel and unique in its nature in terms of how resource hungry it is,” he said.

Tsergas acknowledged that closed-loop cooling systems use less water, but said that does not necessarily mean they have less environmental impact: “Closed-loop systems require much more power to run.”

Tsergas said data centres may be incentivized to build their own power plants because of grid strain and increased electricity costs. He cited a Senate of Canada brief, stating that for every gallon of water used to cool a US data centre in 2023, 12.4 gallons were used to cool associated power plants.

As previously reported, Ontario Power Generation (OPG) recently granted Haldimand County $500,000 to advance discussions on potentially converting the former Nanticoke coal generating station into a new energy generating facility.

Considering the ongoing discussions around energy projects in Nanticoke, Tsergas sees a “pretty clear signal that something is going on…. Where there’s discussion of a small nuclear reactor, small modular reactor, or a CANDU reactor, built or potentially built, it seems to dovetail with rumours or proposals for AI data centres.”

Tsergas urged municipalities like Haldimand to “appropriately regulate this new class of facility before it’s built.”