Some local leaders see opportunity in proposal for Nova Scotia's first data centre

Some local leaders see opportunity in proposal for Nova Scotia's first data centre

Warden confident three levels of regulations will ensure safety

Cape Breton could soon be home to Nova Scotia’s first data centre under a proposal by EverWind Fuels.

The plan is drawing mixed reactions, with local leaders welcoming potential economic gains while others raise concerns over water and energy use.

EverWind Fuels confirmed this week to CBC News that the green hydrogen company’s long-term plans include the construction of a data centre on EverWind’s property in Point Tupper, just outside Port Hawkesbury, N.S.

The company has not provided a timeline for the application process or construction. Richmond County Warden Lois Landry confirmed that EverWind let the municipality know of its intentions “a couple of weeks ago” during a gathering of company officials and county representatives.

Landry is hopeful that a set of guidelines shared by Premier Tim Houston on social media two days ago, along with federal strategies involving data centre construction and municipal bylaws, will ensure that the proposal receives proper scrutiny.

At the same time, Landry says the industrial park that houses EverWind’s local operations is “open for business” and she is welcoming the potential economic opportunity for her municipality.

“We have 50-year-old infrastructure here in Richmond County,” the warden said.

“So we welcome economic opportunity, but to follow up on what the premier has been talking about, that’s not a blank cheque. But I think we should pursue all our options responsibly.”

Responding to Houston’s insistence that data centre proposals "protect water and the environment" through closed-loop cooling, Landry suggested Nova Scotia’s cooler climate will naturally ease the system's cooling demands.

“Anybody who thinks that you need the same amount of cooling in Point Tupper in January as you would in Texas — clearly, that’s a different kind of volume of heat that needs to be cooled,” Landry said.

Port Hawkesbury Mayor Brenda Chisholm-Beaton said she needs time to consult with town council before taking an official stance on the data centre proposal.

However, Landry expressed optimism that the reservoir currently shared by the town and county — Landrie Lake, located just outside Point Tupper — will not become part of any data centre’s needs without significant study from all three levels of government.

“We have an acute awareness of the water that we have available for any industry,” said Landry, pointing out that EverWind Fuels already taps into this reservoir for its green hydrogen production.

Jessica Cheung, the water and climate campaigner for The Council of Canadians, said the lack of information available from EverWind about its proposal should be worrying to Strait Area residents.

“EverWind hasn’t actually said how big it will be, or whether it’s going to be for AI or not, or how much water it’s going to use,” Cheung said Friday.

“And I think that the citizens that live there, and rely on the power and water that is there really, deserve to know that.”

She also questioned the fact that Landrie Lake’s residential customers in Point Tupper and Port Hawkesbury are already facing a yearly rate increase of 20 per cent for the next three years, while EverWind “has a flat rate of $74,000 for untreated water.”

From her office in Guelph, Ont., Cheung also encouraged Nova Scotia “to do this differently” in comparison to data centre developers in New Brunswick, Ontario, Alberta and across the United States.

“In June, Tim Houston had made it clear — and we were quite happy to see that — no more AI data funding would be made available until certain conditions came in place,” Cheung said.

“And then, suddenly, he’s taking a very different turn."

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Adam Cooke is a journalist living in Port Hawkesbury.