Ontario has announced a new framework to regulate the development of AI data centres, as local governments face a surge in applications. The province aims to introduce stricter guidelines for these facilities, which are central to the growth of artificial intelligence. The proposed measures will focus on environmental impact, energy use, and community engagement.

The framework will require developers to submit detailed plans outlining how they will manage energy consumption and reduce carbon footprints. It also includes provisions for public consultation, ensuring residents have a voice in the decision-making process. However, municipalities will not have the authority to block projects, despite concerns raised by local officials.

The move comes as demand for AI infrastructure rises, driven by both private sector investment and government initiatives. Critics argue that more transparency is needed, especially regarding long-term environmental effects. The province plans to finalize the framework by the end of the year, with a public review period ahead of implementation.