Julissa Stewart experienced panic upon learning about plans for an 18,600-square-metre AI data center set to be established at an industrial site roughly 20 minutes from her home in southern Cape Breton. Earlier this month, EverWind Fuels announced plans for a $10-billion data center in Point Tupper, Nova Scotia, scheduled to commence operations by the end of 2027.
The American AI company Anthropic has secured a 20-year lease for the facility, which is anticipated to consume 95 megawatts of electricity during its initial phase, with a subsequent expansion to 325 megawatts expected by mid-2028, culminating in a total energy demand of 420 megawatts.
Stewart expressed her concerns regarding the project, stating, “I’ve been paying attention to what’s happening with AI data centers in other places in Canada and in the States... hearing that it’s coming here, so close to where we live, I have serious concerns. Not because I’m against economic development, but because of how this is being rolled out.”
This ambitious project has positioned Nova Scotia in the midst of a contentious debate surrounding AI data centers, similar to discussions occurring across Canada and the United States, as technology companies race to identify locations for the necessary infrastructure to support artificial intelligence and computing demands.
Community opposition has surfaced, with residents feeling uneasy about the rapid rollout of EverWind’s plans and the perceived lack of community consultation. EverWind’s chief financial officer explained that the firm was restricted from initiating community consultations prior to the official announcement on October 16 due to a restrictive non-disclosure agreement with Anthropic. However, information sessions in Richmond County are scheduled to start next week.
Stewart, who intends to attend these sessions, expressed skepticism over Premier Tim Houston's shifting stance on data centers, noting that earlier in June he deemed it premature to engage in discussions concerning data centers, suggesting such deliberations would take place “far out into the future.” Only months later, in late September, he altered his position, indicating a willingness to consider proposals from the sector.
Stewart’s primary concern revolves around the absence of a comprehensive environmental assessment for the project, as well as an apparent lack of regulations governing data center developments. Houston remarked that it remains unclear if new legislation is necessary, stating, “Do we want to do a piece of legislation for every business that sets up in Nova Scotia? Probably not.”
Lora MacEachern, the deputy minister of environment and climate change, confirmed that the data center is exempt from requiring an environmental assessment, as the existing industrial approval process is deemed adequate. AI data centers currently do not fall within the categories of projects that automatically trigger an assessment in Nova Scotia
Less than two weeks post-announcement, a petition to halt AI data center developments in Nova Scotia gained over 24,000 signatures on Change.org. Opposition parties have also called for enforced regulations and an environmental assessment for these projects, with NDP Leader Claudia Chender emphasizing the necessity for binding regulations given the historic environmental implications of industrial projects in the province.
Promising to address community concerns, EverWind’s chief financial officer assured the Nova Scotia legislature that the company is committed to providing clear, factual answers to questions raised by residents. He asserted that the project will not burden residential electricity consumers with rate hikes and that measures will be in place to protect water supply and minimize water usage.
EverWind estimated the facility would use an average of 100,000 liters of water per day in its initial phase, increasing to about 500,000 liters per day following the completion of the expansion. This water demand represents 1.5 percent of the estimated sustainable daily yield from the nearby Landrie Lake.
Experts have highlighted the environmental implications of such large-scale projects. Vaibhav Bahadur, a professor specializing in AI data center development, noted the significant concerns associated with high electricity demands and potential environmental impacts. He indicated that while closed-loop cooling systems—claimed to be more efficient—may seem advantageous, they could necessitate additional energy and lead to broader pollution concerns.
Stewart articulated her worries about potential long-term environmental repercussions from the project, emphasizing the need for stringent regulations to safeguard the health of future generations. “I have a six-year-old daughter, and I have concerns about this down the road,” she said. “If we don’t put proper regulations in place, what is that going to look like for her?”
As AI technology continues to evolve, a recent report from the United Nations University has warned that the global environmental footprint of data centers may soon surpass that of some of the world’s largest countries, with predictions of doubled water and energy consumption linked to the expansion of artificial intelligence.
