Bill 291: Data Centre Water and Ratepayer Protection Act

This bill directly targets businesses that own or operate data centres in Nova Scotia, including those running AI computing infrastructure. Day-to-day operations are affected in two major ways: first, how the facility cools its servers (operators must use closed-loop or recycled water systems, or pay a regulatory charge for water use above a prescribed threshold); and second, how electricity costs are structured (operators must sign binding agreements with electricity providers covering all capacity, infrastructure, and cancellation costs upfront, backed by financial security). Both solo-operated data centre facilities and large-scale enterprise or cloud computing campuses are captured, with larger facilities likely facing the greatest financial security and advance payment obligations. The bill explicitly prohibits government subsidies from offsetting these costs, meaning operators cannot rely on public assistance to cover their obligations.