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Hamilton Council Rejects One-Year Moratorium on New Data Centres

Councillors cited closed-door legal advice that a McMaster-led proposal would be exempt and said the pause could invite costly court challenges.

Overview

  • The city council voted 10–6 on July 15, 2026 to defeat an interim control bylaw that would have halted new data-centre approvals for one year.
  • Councillors reported that lawyers told them a proposed data centre linked to McMaster University would likely be exempt from the ban, which shaped opposition to the moratorium.
  • Supporters said the pause was needed to write local rules and public-benefit requirements to limit noise, water use, energy demand and neighborhood impacts.
  • Opponents warned the moratorium could scare off major investment and research projects and that the bylaw might not survive legal challenges if contested.
  • The vote leaves Canada without a municipal moratorium for now while other North American cities pursue temporary pauses and municipalities consider measures such as reporting requirements, special utility rates and community benefit agreements.