Lucy Maloney wants to press pause on Vancouver's AI data centres

Jul 9 2026, 8:29 pm

Since Telus announced that it’s planning to build two massive artificial intelligence (AI) centres in Vancouver, the news has been met with a lot of backlash.

One location is set in Mount Pleasant at 111 East 5th Ave., and the other is right next to the BC Place stadium, at the intersection of Beatty Street and West Georgia Street.

Telus is working on this with the Government of Canada and local developer Westbank, with the goal of strengthening Canada’s domestic AI infrastructure. The plan is for them to rely heavily on electricity supplied through BC Hydro, and the two Vancouver sites along with a third in Kamloops will scale to over 60,000 graphics processing units (GPUs) and 150 megawatts of computing capacity by 2032.

But a group called No AI Data Centres in Vancouver has organized large protest marches against them, drawing in hundreds of people. They’ve cited concerns about the AI Centres impact on the environment, including the fact that these centres have become notorious for high electricity and water use.

Now, a Vancouver city councillor is calling on council to pump the brakes on the AI data centres.

OneCity Vancouver Councillor Lucy Maloney has introduced a member’s motion to pause consideration of large new data centres in Vancouver until the City creates a framework they can use to assess their community risks and impacts.

“Hyperscale data centres bring new risks, and need thorough evaluation,” said Maloney, in a release sent to Daily Hive. “As often occurs with major technology advances, current regulations simply haven’t caught up to the task — so we must strengthen them.”

The release from OneCity not only cited concerns about data centres’ high consumption of water and energy, but also noted that they produce pollution, waste heat, and noise.

It adds that while AI data centres “often generate significant returns for their investors, the communities that host them do not generally capture a corresponding economic benefit.”

Maloney’s motion also pointed out that in the U.S., data centre construction and operation can “create legitimate concerns and serious impacts on both nearby residents and municipal infrastructure,” without regulation.

It also states that the kind of data centres being built for AI are much different than conventional storage data centres due to scale and energy needs, and thus “present new challenges for cities.”

Further, the motion raises the concern that these centres will occupy Vancouver’s limited commercial and industrial land but not create as many post-construction jobs as other uses would.

Maloney is hoping to have the council direct staff to report back on how the City can create a data centre public impact requirement that ensures applicants (before rezoning or permitting) commission a third-party assessment that addresses water, greenhouse gas emissions, air contaminants, and noise and heat impacts. This assessment would also look at mitigation measures like heat recovery and employment impacts.

Council will consider this motion at a city council meeting on July 15.

With files from Kenneth Chan and Daniel Chai

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