Alberta's technology minister has been directed to push forward with attracting data centres and pursuing digital innovation as part of the province's strategy to boost new investment and revenue.
"My goal is over the next five years to try and attract $100 billion worth of investments into data centres," Nate Glubish, Alberta's technology and innovation minister, said in an interview with CBC News.
"That would mean hundreds of hundreds of millions of dollars of incremental tax revenue ... which means more money for schools, hospitals and public services that the province cares about."
That goal was reinforced by the mandate letter he received Oct. 16 from Premier Danielle Smith.
A hot ticket item on that letter was the Artificial Intelligence Data Centres Strategy, which some experts -- and ordinary citizens -- have concerns about as proposals begin popping up in communities.
Alberta's AI Data Centres Strategy says it "sets the path to securing the province's position as the most attractive place to build artificial intelligence data centres in North America."
The strategy outlines steps like keeping taxes low, modernizing regulations and providing funding opportunities to secure Alberta as a destination of choice for companies looking to build AI data centres.
Another advantage the province has is its geography, according to University of Alberta economics professor Chetan Dave.
"We've got lots of flat land. We have winters that are very sunny," he said, emphasizing how beneficial it is for winters to keep things cool.
"And most importantly, what we have is an intellectual infrastructure ... for developing AI," he said, referring to schools like the University of Alberta and the University of Calgary.
The Alberta Electric System Operator is limiting how many data centres can join the grid, saying it can't connect all the current projects being proposed - and generally, those proposals want to tap into the grid more than they suggest bringing their own power.
A map and corresponding table published by the AESO indicates that Alberta has received 231 data centre applications by the time of publication.
Since there is such limited capacity, there's a need to ensure new centres aren't trying to get around paying provincial taxes. This led to the introduction of a two per cent levy on computer hardware for some grid-connected centres starting Dec. 31, 2026 - which companies can offset against their corporate income taxes.
"[If they] pay corporate income taxes here, they shouldn't end up owing a single dollar of levy," said Glubish.
"We don't want to give away access to significant electricity capacity from our grid to companies that don't intend to be good corporate citizens".
Dave wants to see policies put in place around using different sources of energy equally, and taxes from oil and gas reinvested into growing renewables.
"Not only will it fuel the energy demands of these data centres, but it will keep the price of energy down for the residents," he said.
Glubish said he believes that's impossible.
"[Centres] need 99.9 per cent up time and renewables cannot offer that."
A broader concern in the realm of electricity is what that will do for the bottom line of Albertans' power bills, as increased costs are seen in households across the U.S. around the centres.
Glubish said he doesn't expect that to be a problem in Alberta. He said centres approved will be in locations close to power plants, and therefore won't require building additional infrastructure.
"There are many jurisdictions in the U.S. that rushed to embrace data centres at all costs with no foresight, no engineering and no analysis," he said.
"The key is we have to choose the right locations so that we don't require billions of dollars of additional transmission infrastructure to support new projects".
Due to land and grid availability, data centres are most likely to start cropping up in small and mid-sized communities.
The Municipal District of Greenview, near Grande Prairie, may soon be home to what celebrity investor Kevin O'Leary says would be the world's largest artificial intelligence data centre.
But not everyone is happy with the data centre projects being proposed, with municipalities like Rocky View County rejecting a plan for a facility, citing concerns about its proposed location and potential impacts on neighbouring farmers.
One project was recently approved in Red Deer County. That municipality approved a discretionary development permit in early October.
It's expected to employ five to seven people, with an expected completion in 2026. The company behind the proposal, Agritech Haven International (AHI), has stated it will generate its own electricity, and have a waterless, ultra-low noise design.
Concerns about noise were raised by residents of 22 homes located within two kilometres of the planned site. An assessment given found the sound levels will conform to regulation.
When the proposal was passed by Red Deer County council, the only vote against it was from then-councillor Brent Ramsay. Ramsay, who was elected as the county's mayor this week, declined a request from CBC News for comment.
Glubish said he "wouldn't want [a centre] built right next to my house," but added AHI's proposal is a smaller facility and he will "respect municipalities' autonomy" when it comes to where these projects should be built.
The mandate letter Glubish received this month sets out a series of other expectations, including launching mobile health-care cards and the new Alberta Wallet, as well as including personal health numbers on driver's licences and improving the effectiveness of Alberta Health's computer systems.
It also states that he is to develop a plan for training staff on generative AI for operations, and in tandem, a digital strategy focusing on security and privacy.
He's tasked with ensuring access to reliable high-speed internet - particularly, in Indigenous communities.
An intellectual property strategy is also in the works to allow government ownership interest in IP developed using taxpayer dollars - like those developed at public universities.