Residents and Officials Question Massive AI Data Centre Proposal in Toronto

AI-generated image · Bay Street Wire
A proposed expansion by STACK Infrastructure at 3650 Danforth Ave. faces pushback over electricity and water demands amid climate pressures.
A proposal to expand a data centre into a massive AI facility is facing significant opposition from Toronto residents and local officials. According to BlogTO, STACK Infrastructure plans to transform its current 8-megawatt operation at 3650 Danforth Ave. into a campus spanning 19 acres that may draw up to 56 megawatts.
The project would involve adding two new buildings filled with AI servers. Scarborough Southwest Councillor Parthi Kandavel and local residents have expressed concerns regarding the facility's impact on the environment and surrounding neighborhoods, specifically citing water consumption, noise, and electricity demand. BlogTO reports that a petition led by Kandavel has already garnered over 2,500 signatures.
Kandavel is calling for the city to ensure local infrastructure can support a project of this scale and is seeking answers regarding community benefits, infrastructure costs, and data safeguards. Because the site's existing zoning already permits data centres, the project is proceeding through the Site Plan Approval process rather than requiring a City Council rezoning vote. This occurs as Toronto develops its first city-wide policy for large-scale AI data centres, which BlogTO notes is not expected to return to City Council until 2027.
Toronto's struggle mirrors trends in other Ontario cities. BlogTO reports that Mississauga councillors are scheduled to vote on July 29 regarding a proposed one-year moratorium on new AI data centre developments. Similarly, Hamilton councillors voted 10-6 on July 15 to reject a temporary pause on such facilities.

