As demand for digital services continues to grow, so does the pressure on data centres to deliver reliable performance while managing energy use. Cooling systems often account for up to 40 per cent of a data centre’s total energy consumption, according to the McKinsey & Company. Older infrastructure, inconsistent air flow, and high-density server racks can quickly strain traditional cooling systems and increase environmental impact.
In response, leading operators are investing in innovative cooling strategies that improve efficiency, lower costs, and support sustainability goals— all while delivering top-tier performance. At Telehouse Canada, energy-efficient infrastructure and Enwave’s deep lake water cooling system help reduce electricity use while maintaining high-performance standards.
The Biggest Cooling Challenges Facing Data Centres
1. Rising Energy Use
According to Uptime Institute Global Data Centre Survey 2024, the average global PUE (Power Usage Effectiveness) remains around 1.56, meaning approximately 36 per cent of the energy used goes to cooling and infrastructure instead of computing. This inefficiency can significantly increase operating costs and carbon emissions, particularly in older facilities. Operators need to look beyond legacy cooling systems and adopt more sustainable, scalable and energy efficient solutions.
At our 151 Front Street West and 250 Front Street West locations in Toronto, we use Enwave’s Deep Lake Water Cooling (DLWC) system. By leveraging Lake Ontario’s naturally cold temperatures instead of conventional water-cooled chillers to cool our facilities, we significantly reduce electricity consumption and environmental impact—cutting cooling-related energy use by up to 80% and displacing 55 megawatts of electricity annually, enough to power approximately 40,000 homes.

2. Environmental and Water Concerns
Traditional cooling towers can consume large amounts of water and use refrigerants that contribute to greenhouse gas emissions. For data centres operating in dense urban environments, water usage and carbon output are key sustainability considerations.
Enwave’s DLWC eliminates the need for traditional mechanical cooling systems in our facilities, helping Toronto save over 832 million litres – or the equivalent of 100 Olympic-sized swimming pools – in water annually.
3. Aging Infrastructure
Older data centre facilities often rely on fixed-speed equipment, inefficient airflow, and manual environmental controls. These systems struggle to keep up with fluctuating server loads and growing density. Upgrading older infrastructure with optimized mechanical and electrical systems, smart automation and responsive environmental controls can significantly improve energy efficiency and reduce operational costs.
We consistently upgrade our data centre infrastructure with occupancy sensors, LED lighting, UPS, and energy metres at the subsystem level. As a result, our automation systems monitor conditions in real time and automatically adjust environmental settings to reduce waste and maintain consistent performance.
Best Practices for Maximizing Cooling Efficiency and Sustainability
1. Use Local Environmental Assets
Location and access to natural resources play a key role in sustainable cooling. Data centres in proximity to natural water sources can use those resources to reduce energy use and environmental impact.
In cities like Toronto, deep lake water cooling is a proven and effective alternative to mechanical chillers and our facilities utilize Lake Ontario’s naturally cold deep waters to cool the data centre environment. Heat transfer technology captures the heat generated by our data centres and other Enwave customers facilities to warm the City of Toronto’s drinking water, contributing to Toronto’s broader sustainable energy ecosystem.
2. Integrate Smart Monitoring and Automation
Manual oversight of temperature, power, and airflow is no longer sufficient for modern data centres. Building automation systems allow operators to monitor and respond to environmental changes instantly.
Our facilities feature real-time monitoring and automated systems that adjust cooling output based on load and occupancy. This ensures resources are only used where needed and helps avoid unnecessary power consumption.
3. Prioritize Design Efficiency
Optimizing how data halls are laid out can make a significant difference in cooling performance. Best practices include cold aisle containment, airflow management, and planning equipment layouts to reduce hotspots.
Our data halls are built with efficiency in mind. We use cold aisle containment and variable frequency drives on mechanical equipment to direct power and cooling exactly where it’s needed. Our current Power Usage Effectiveness rating of 1.3 reflects this focus on sustainable design.
Cooling is central to both operational performance and long-term sustainability in data centres. By combining natural cooling resources with automation, infrastructure upgrades, and smart design, it is possible to reduce emissions, lower costs, and improve reliability.
Telehouse Canada is committed to clean energy and low-impact operations, with a target of 100 per cent renewable energy by 2025 and net-zero CO₂ emissions by 2040. For businesses evaluating colocation providers or reviewing infrastructure strategy, cooling efficiency is a key differentiator that directly impacts ESG outcomes, energy budgets, and long-term scalability.
Learn how Telehouse Canada can help your organization meet performance and sustainability goals through efficient, future-ready infrastructure.