Plans for two data centres on the western outskirts of the capital have been lodged with the local authority after Scotland was declared an 'AI Growth Zone' by the UK Government this summer.
Together, they would cover an area roughly equivalent to 14 football pitches. Once operational, these warehouses filled with computer servers are expected to consume as much electricity as over one million homes, according to estimates.
There are growing concerns around the vast energy demands of AI data centres and the potential impact on those who live near them.
Fears have also been raised that the environmental impact of the developments will not be properly considered, after Edinburgh Council's officials said neither of the proposed data centres will be subject to Environmental Impact Assessments (EIAs) as part of the planning process.
Some experts have warned that the enormous additional demand AI data centres place on the grid can drive up energy bills and lead to power outages, particularly if the growth of server facilities outpaces the expansion of clean energy capacity. This has been reported in parts of the US where large data centres have been constructed.
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Both developers behind projects in Edinburgh, Shelborn Asset Management and Apatura, have said their 'green' data centres will primarily run on renewable energy and maximise energy efficiency.
However, Councillor Chas Booth, climate spokesperson for Edinburgh Council's Green group, said he was "concerned that the promise of renewable energy to power these developments will prove to be either completely unworkable and result in an increased reliance on fossil fuel generators, or will have a significant impact on the energy supplies for people and households in the surrounding area".
He told The Herald: "Given the substantial energy and water consumption of these proposed data centres, it is unbelievable that the Council does not require an energy impact assessment for these sorts of developments."
The Greens will table a motion at next week's full council meeting calling on officials to review legislation and governance around data centres, with a focus on their environmental and climate change impacts, and examine how companies behind the energy-intensive developments can contribute to renewable energy security in the region, including through developer contributions or similar measures.
Cllr Booth added: "Our motion is an attempt both to get clarity on where responsibility for governing this vast energy use sits, and to ensure that - if they go ahead - developers seeking to bring data centres to Edinburgh are required to invest in renewable energy security for the local area.
"These developments seem to be a classic example of the flawed 'growth is good' mentality that tells us that AI will lead to greater productivity without questioning at what cost.
"There is a real danger that a national desire for this infrastructure could ride roughshod over local concerns and our long-standing commitments towards net zero.
"At their heart, no matter how 'green' they may claim to be, use of mass data centres to fuel AI are an environmental disaster and no-one should fall for the greenwash of big tech."
Meanwhile, a new petition launched by Action to Protect Rural Scotland is urging the government to ensure data centres and large battery storage installations are named in Schedule 1 of its EIA regulations "so they no longer fall through the net, and that data centres should be subject to strict energy efficiency and water use standards".
A City of Edinburgh Council spokesperson said: "Whilst we're unable to comment on live planning applications, environmental impacts are always carefully considered as part of the decision-making process."
Shelborn Asset Management and Apatura were approached for comment.