Key facts
- Meta plans to build a C$13 billion data center in Alberta.
- Capital Power CEO Avik Dey believes Alberta could become a multi-gigawatt market for hyperscale data centers.
- Capital Power will supply 250 megawatts of electricity to Meta's facility until its dedicated power generation is operational.
- BCE plans to develop a 1.2-gigawatt data center hub in Saskatchewan.
- Alberta is encouraging data center proponents to invest in new electricity sources.
Meta's planned C$13 billion ($9 billion) data center in Alberta has significantly boosted the Canadian province's appeal for hyperscalers, according to Capital Power CEO Avik Dey. Dey stated that while Meta is the first to commit, multiple hyperscalers have been evaluating Alberta for the past 18 months, and he believes the province has the potential to become a multi-gigawatt market.
Capital Power, an Edmonton-based company, is in discussions with several potential clients to supply electricity for data center projects. The company is positioning its Genesee Generating Station as a site for these facilities and sees its natural gas-fired power plants as suitable for serving data centers in Canada and the US. Until Meta's dedicated power generation comes online in 2030, Capital Power will provide 250 megawatts of electricity to the facility.
Alberta has actively courted US-based hyperscalers, offering proponents the option to develop their own electricity sources to ensure sufficient power capacity. This approach contrasts with increasing pushback in the US over power, water, and pollution concerns associated with data centers. However, a report by the Pembina Institute raised concerns that drawing from the provincial grid before new capacity is operational could strain supply and increase consumer costs. Separately, Canadian telecom firm BCE announced plans to expand its planned data center in Saskatchewan into a 1.2-gigawatt hub, though Saskatchewan's government is prioritizing Canadian ownership for such projects.