Discussion Primer: AI DATA CENTRES AND EQUITABLE CLIMATE ACTION

As AI data centre development accelerates, local governments are facing immediate decisions with limited guidance on climate and equity impacts. Since February 2025, Urban Climate Leadership has convened stakeholders to examine these challenges.

A January 2026 dialogue highlighted growing urgency around regulating data centres in Canada, with concerns about energy demand, water use, and fragmented governance. Participants noted that Canadian communities are not yet prepared to manage these risks.

This primer supports the next phase of dialogue, focused on helping municipalities move from awareness to action. It will surface key challenges and opportunities, clarify existing regulatory tools, and identify what is needed to ensure that data centre decisions align with climate and equity priorities.

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Discussion Summary Report: AI, Climate, and Equitable Climate Action