Alberta builds an AI infra proposition around power and scale

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Alberta

The province’s government has explicitly positioned Alberta as a destination for AI-driven data center operations through its Artificial Intelligence Data Centers Strategy

In sum – what to know

AI strategy takes shape – Alberta has adopted a dedicated strategy focused on power capacity, sustainable cooling and economic growth.

Major projects advance – Meta’s more than $9 billion data center and Pembina’s 932MW Greenlight power project highlight the scale of investment.

Power remains central – Alberta is developing dedicated and grid-connected power models while managing electricity, water and regulatory constraints.

Alberta is seeking to establish itself as a major destination for data centers and AI infrastructure in Canada, combining large-scale power resources, industrial land, and a dedicated provincial strategy with a growing pipeline of projects.

The province’s government has explicitly positioned Alberta as a destination for AI-driven data center operations through its Artificial Intelligence Data Centers Strategy. The strategy is built around three pillars: power capacity, sustainable cooling, and economic growth. It calls for both off-grid and grid-connected power solutions, the use of natural gas alongside renewable generation and carbon capture where feasible, and a more predictable regulatory pathway.

The approach is already being reflected in major projects. On July 2, Pembina Pipeline, Morgan Stanley Infrastructure Partners, and Kineticor Asset Management announced a final investment decision on the Greenlight Electricity Center, a 932MW gas-fired combined-cycle power plant in Sturgeon County’s Alberta Industrial Heartland. The facility is designed to supply power on a dedicated basis to a major data center development, with an anticipated in-service date in the second half of 2030. The site has potential to expand to 1,864MW of permitted generation capacity.

The project is particularly significant because it illustrates Alberta’s approach to meeting large data center loads through dedicated generation rather than relying entirely on the provincial grid. Greenlight is intended to provide behind-the-meter power to the customer.

That model is also relevant to Alberta’s broader electricity strategy. The Alberta Electric System Operator says large loads such as data centers create complex technical and operational challenges, and projects without generation can place significant strain on supply.

Alberta is developing a “bring your own power” approach alongside conventional grid connections. The province’s AI strategy specifically identifies both off-grid and grid-connected solutions as part of its power-capacity pillar.

Meta provides another indication of the potential scale. The company selected Sturgeon County for its first Canadian data center campus, representing an investment of more than CAD13 billion ($9.11 billion), according to Invest Alberta. The project is expected to create more than 3,000 construction jobs and approximately 300 permanent positions. Invest Alberta says the project will use Alberta’s Bring-Your-Own-Power approach, with approximately 970MW of grid-connected power planned across two phases and future on-site natural-gas generation being developed with Kineticor and Pembina.

Other projects are also moving through Alberta’s development ecosystem. Invest Alberta said in December 2025 that Technologies New Energy and Data District were advancing four data center projects in the first phase of a development initiative, with combined capacity of around 240MW and a development budget of approximately CAD1.26 billion.

Power, however, is only one part of the equation. Alberta’s AI strategy also identifies cooling and water resources as important considerations, while calling for cooling approaches that take the province’s water capacity into account.

Regulation is another area where the province is attempting to adapt. Alberta says it will review regulatory timelines associated with data center development, establish an AI Data Centre Concierge Program and work with municipalities and Indigenous communities on project implementation.

The province has also introduced a data center levy that took effect January 1, 2026. Alberta says the levy applies to the value of large-scale data center computing equipment, with rates of up to 2%, while lower rates are available to facilities that reduce their impact on the provincial power grid through their own power solutions.

Together, the projects and policy measures show Alberta attempting to build a data center proposition around a specific combination: large industrial sites, energy resources, dedicated power generation, grid access, and a regulatory framework designed specifically for AI infrastructure. The Greenlight project and Meta’s investment provide two of the clearest examples of that strategy moving from policy into large-scale infrastructure development.

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