First Nations warn Alberta's data centre approach won't attract big tech companies

Lauren Krugel · The Canadian Press

· Posted: Jun 29, 2025 9:00 AM EDT | Last Updated: 3 hours ago

The chiefs of 4 First Nations successful Alberta accidental they're anxious to instrumentality portion successful the province's nascent information centre industry, but reason the state is taking the incorrect attack to pull large-scale tech players.

The chiefs of the Alexander First Nation, Paul First Nation, Enoch Cree Nation and Alexis Nakota Sioux Nation outlined their concerns this week successful an unfastened missive to Premier Danielle Smith and members of her government.

"There are shovel-ready proposals backed by large manufacture players aligned with authorities objectives that volition beryllium near stranded without a alteration successful projected policy," the chiefs wrote.

"Alberta should beryllium a premier destination for hyperscale information centre investment. But strengths lone substance if we enactment connected them. Right now, Alberta's quality to execute and present connected its committedness is successful question."

Data centres are immense facilities lodging the computing firepower needed for artificial quality and different applications. It tin instrumentality an tremendous magnitude of powerfulness to tally and chill them. The chiefs accidental the magnitude of powerfulness the Alberta Electric System Operator has allotted to caller projects falls short.

The Alberta Electric System Operator said earlier this period that it has received requests from 29 projected information centre projects representing much than 16,000 megawatts — much than 11 times the City of Edmonton's load.

It said it volition let the transportation of up to 1,200 megawatts of ample load projects betwixt present and 2028.

"Alberta has ne'er seen this level and measurement of load transportation requests," said AESO CEO Aaron Engen.

"As the strategy operator, we are liable for ensuring that caller task connections bash not compromise grid reliability. Because connecting each ample loads seeking entree would impair grid reliability, we established a bounds that preserves strategy integrity portion enabling timely information centre improvement successful Alberta."

The Alberta authorities has acceptable a extremity of attracting $100 cardinal successful information centre concern implicit 5 years.

Accommodating for hyperscalers

But the chiefs wrote that the bounds sends the incorrect awesome to tech powerhouses similar Meta and Amazon.

"The hyperscalers 'don't physique small.' They deliberation successful gigawatts, due to the fact that their planetary operations necessitate that scale," they wrote.

"Under the existent proposal, not adjacent 1 specified flagship task whitethorn beryllium afloat realized present without years of delay, since 1,200 megawatts full divided among galore projects signals that Alberta isn't prepared to accommodate a existent hyperscaler's needs.

"This sends an unintended but wide connection to investors that Alberta's actions bash not lucifer its ambitions."

The Alberta authorities supports the "balanced approach" the AESO is taking, said the property caput for Affordability and Utilities Minister Nathan Neudorf.

"Alberta aims to beryllium the destination of prime for AI information centres successful North America," Ashli Barrett said successful a written statement.

"At the aforesaid time, our authorities volition ever enactment the well-being of Albertans archetypal and guarantee information centre projects volition not compromise the affordability oregon reliability of the energy that millions of Albertans, First Nations, and our section industries beryllium on."

Barrett added the 1,200-megawatt bounds is short-term and should not beryllium thought of arsenic a cap.

"It volition alteration information centre projects successful precocious stages of readying and improvement to get started, portion authorities works to make a semipermanent model for information centres, which volition supply further pathways for information centres projects to conscionable their powerfulness needs, including encouraging them to bring their ain power."

Chief Tony Alexis of the Alexis Nakota Sioux Nation northwest of Edmonton said his assemblage is looking astatine taking an equity involvement successful a project, and discussions are successful the aboriginal stages.

He said First Nations privation much than to beryllium consulted — they are acceptable to invest.

"Our nations person been growing. We've got young populations and this manufacture tin bring immoderate existent training, immoderate jobs, immoderate semipermanent prosperity for our community," Alexis said successful an interview.

"Alberta is aiming for a championship-level integer economy. We conscionable request the stadium doors unfastened wide capable truthful that the prima players tin enactment and everyone wins."