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Mississauga council votes unanimously to pause AI data centre development

The one-year moratorium will let the city study environmental impact and regulate how these facilities operate.

· 2 min read · HOC Toronto Desk
Mississauga council votes unanimously to pause AI data centre development
File photo: Renew HQ / Pexels
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Mississauga council voted unanimously Wednesday to approve a one-year moratorium on AI data centre applications, pausing development while the city studies the environmental and infrastructure impact of these facilities.

The vote follows a July decision by councillors to create the bylaw. A single data centre proposed in the city is roughly the size of three football fields — the largest application Mississauga has ever received for this type of facility. During the moratorium period, the city will examine how the facilities affect water and electricity supply, study regulation options, and consult residents and industry.

Dipika Damerla, Ward 7 councillor and mayoral candidate, said the province needs to define what counts as an AI data centre, outline when new electricity rates take effect, provide clear answers on health impacts, and explore community benefits. "Wednesday's vote can't be the end of this conversation," Damerla said in a statement Monday. "It has to be the beginning of something stronger. We still have homework to do."

Bonnie Crombie, the former Mississauga mayor running to reclaim the seat after resigning as Ontario Liberal Party leader this year, supports the moratorium. She is concerned about the possibility of a U.S. company owning and operating an AI data centre in Mississauga. "Any development should always be prioritized based on public interest and the highest and best use of the land," Crombie said. "Particularly at this time, we need to take Canadian sovereignty and data security seriously. We need clear answers about who would control the data, who could access it and how Canadians' information would be protected."

Crombie and Mayor Carolyn Parrish are running neck and neck in the mayoral race, according to an August poll from Liaison Strategies. Parrish said Toronto: "We have been responsive to community concerns on this issue. We will continue to be responsive." Four leading candidates officially launched their campaigns this past weekend.

What we asked

What will Mississauga's study reveal about water and electricity strain these facilities create?

Will the province define what counts as an AI data centre before the moratorium ends?

We'll update this story as answers emerge.

The facts

How long is the moratorium on AI data centre applications in Mississauga?

The moratorium lasts one year. During this time, Mississauga will study the environmental and infrastructure impact of data centres, examine effects on water and electricity supply, and consult residents and industry.

How large is the proposed AI data centre in Mississauga?

The proposed facility is roughly the size of three football fields, making it the largest application Mississauga has ever received for this type of facility.

When did Mississauga council vote on the moratorium?

Council voted unanimously on Wednesday, September 9, 2026 to approve the one-year moratorium.