New data centres in Saskatchewan must be Canadian and supply own power, province says

New data centres proposed in Saskatchewan must be Canadian-owned and capable of supplying their own electricity, the provincial government has announced. The policy aims to ensure national control over data and artificial intelligence (AI) infrastructure while maintaining the reliability of utility services. The directive applies to future applications, excluding existing projects such as Bell Canada's $1.7-billion AI data centre near Regina, which is already under construction. The framework outlines strict requirements for prospective developers. Applicants must prove they are Canadian entities and demonstrate experience in building similar facilities. They must also show they can generate substantial employment opportunities within the province. These conditions reflect the government’s emphasis on securing economic benefits alongside technological advancements. Jeremy Harrison, Saskatchewan’s Crown Investments Corporation minister, emphasized the importance of Canadian leadership in data and AI infrastructure during a press briefing at Bell Canada’s project site. He noted that recent developments have reinforced the need for such measures, comparing data and AI security to energy security in terms of strategic significance for nations. The province plans to establish a centralized system to evaluate and approve new data centre proposals. This process will consider factors beyond just technical specifications, including job creation potential and alignment with broader economic goals. Bell Canada’s data centre, scheduled to be completed soon, will be the largest Canadian-owned facility of its kind, utilizing 300 megawatts of power. Despite its scale, the project does not fall under the newly introduced framework since it will rely on electricity sourced from Saskatchewan’s grid managed by Crown utility SaskPower. Harrison explained that the decision to proceed with Bell’s project prior to formalizing the new rules was based on the availability of power resources. He acknowledged public input played a role in shaping the current policies, stating there is general support for the direction the province is taking despite varying opinions on AI technology. John Watson, group president of Bell, addressed concerns regarding water usage at the site. He clarified that the facility will employ a closed-loop cooling system instead of drawing groundwater. To address community worries, Bell has committed to engaging with local stakeholders actively, aiming to correct misconceptions about the project's environmental impact. Additionally, the company plans to collaborate with the University of Regina and the George Gordon First Nation to utilize surplus heat produced by the data centre’s operations. This initiative highlights efforts to integrate local communities into the project's benefits. The rapid approval process for Bell’s data centre has drawn attention. Located in the Rural Municipality of Sherwood, the project received initial approval in February following a rezoning application. Shortly thereafter, several council members resigned, prompting the province to appoint new representatives to maintain operational continuity. The final approval came in April, allowing construction to continue uninterrupted. As the province moves forward with implementing these new regulations, the focus remains on balancing innovation with responsibility, ensuring that Saskatchewan's digital landscape develops sustainably while safeguarding its interests in emerging technologies.