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Alberta

AI-driven data centre energy boom ‘open for business’ in Alberta

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From the Canadian Energy Centre

By Deborah Jaremko and Will Gibson

“These facilities need 24/7, super-reliable power, and there’s only one power generation fuel that has any hope of keeping up with the demand surge: natural gas”

Data centres – the industrial-scale technology complexes powering the world’s growing boom in artificial intelligence – require reliable, continuous energy. And a lot of it.

“Artificial Intelligence is the next big thing in energy, dominating discussions at all levels in companies, banks, investment funds and governments,” says Simon Flowers, chief analyst with energy consultancy Wood Mackenzie.

The International Energy Agency (IEA) projects that the power required globally by data centres could double in the next 18 months. It’s not surprising given a search query using AI consumes up to 10 times the energy as a regular search engine.

The IEA estimates more than 8,000 data centres now operate around the world, with about one-third located in the United States. About 300 centres operate in Canada.

It’s a growing opportunity in Alberta, where unlike anywhere else in the country, data centre operators can move more swiftly by “bringing their own power.”

In Alberta’s deregulated electricity market, large energy consumers like data centres can build the power supply they need by entering project agreements directly with electricity producers instead of relying solely on the power of the existing grid.

Between 2018 and 2023, data centres in Alberta generated approximately $1.3 billion in revenue, growing on average by about eight percent per year, lawyers with Calgary-based McMillan LLP wrote in July.

“Alberta has a long history of building complex, multi-billion-dollar infrastructure projects with success and AI data centres could be the next area of focus for this core competency,” McMillan’s Business Law Bulletin reported.

In recent years, companies such as Amazon and RBC have negotiated power purchase agreements for renewable energy to power local operations and data centres, while supporting the construction of some of the country’s largest renewable energy projects, McMillan noted.

While the majority of established data centres generally have clustered near telecommunications infrastructure, the next wave of projects is increasingly seeking sites with electricity infrastructure and availability of reliable power to keep their servers running.

The intermittent nature of wind and solar is challenging for growth in these projects, Rusty Braziel, executive chairman of Houston, Texas-based consultancy RBN Energy wrote in July

“These facilities need 24/7, super-reliable power, and there’s only one power generation fuel that has any hope of keeping up with the demand surge: natural gas,” Braziel said.

TC Energy chief operating officer Stan Chapman sees an opportunity for his company’s natural gas delivery in Canada and the United States.

“In Canada, there’s around 300 data centre operations today. We could see that load increasing by one to two gigawatts before the end of the decade,” Chapman said in a conference call with analysts on August 1.

“Never have I seen such strong prospects for North American natural gas demand growth,” CEO François Poirier added.

Alberta is Canada’s largest natural gas producer, and natural gas is the base of the province’s power grid, supplying about 60 percent of energy needs, followed by wind and solar at 27 percent.

“Given the heavy power requirements for AI data centres, developers will likely need to bring their own power to the table and some creative solutions will need to be considered in securing sufficient and reliable energy to fuel these projects,” McMillan’s law bulletin reported.

The Alberta Electric System Operator (AESO), which operates the province’s power grid, is working with at least six proposed data centre proposals, according to the latest public data.

“The companies that build and operate these centres have a long list of requirements, including reliable and affordable power, access to skilled labour and internet connectivity,” said Ryan Scholefield, the AESO’s manager of load forecasting and market analytics.

“The AESO is open for business and will work with any project that expresses an interest in coming to Alberta.”

Alberta

Parents group blasts Alberta government for weakening sexually explicit school book ban

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From LifeSiteNews

By Anthony Murdoch

The revised rules no longer place restrictions on written descriptions of sexual content.

Some parental rights advocates have taken issue with the Conservative government of Alberta’s recent updates to a ban on sexually explicit as well as pornographic material from all school libraries, saying the new rules water down the old ones as they now allow for descriptions of extreme and graphic sexual acts in written form.

As reported by LifeSiteNews last week, Alberta Education Minister Demetrios Nicolaides of the ruling United Conservative Party (UCP) released revised rules outlining the province’s ban on sexually explicit content in school libraries.

The original ban included all forms of sexually explicit as well as pornographic material. However, after a large public school board alleged the ban applied to classic books, the government changed the rules, removing a clause for written sexual content that has some parental rights groups up in arms.

Tanya Gaw, founder of the conservative-leaning Action4Canada, noted to media that while she is happy with Premier Danielle Smith for the original book ban, she has deep concerns with the revised rules.

“We are very concerned about the decision that no longer places restrictions on written descriptions of those acts, which is problematic,” she said in an interview with The Epoch Times.

Gaw noted how kids from kindergarten to grade 12 should “never” be “exposed to graphic written details of sex acts: incest, molestation, masturbation, sexual assaults, and profane vulgar language.”

According to John Hilton-O’Brien, who serves as the executive director of Parents for Choice in Education, the new rule changes regarding written depictions “still shifts the burden onto parents to clean up what should never have been purchased in the first place.”

He did say, however, that the new “Ministerial Order finally makes catalogs public, and what we see there is troubling.”

Alberta’s revised rules state that all school library books must not contain “explicit visual depictions of a sexual act.” To make it clear, the standards in detail go over the types of images that are banned due to their explicit pornographic nature.

As reported by LifeSiteNews in May, Smith’s UCP government went ahead with plans to ban books with sexually explicit as well as pornographic material, many of which contain LGBT and even pedophilic content, from all school libraries.

The ban was to take effect on October 1.

The UCP’s crackdown on sexual content in school libraries comes after several severely sexually explicit graphic novels were found in school libraries in Calgary and Edmonton.

The pro-LGBT books in question at multiple school locations are Gender Queer, a graphic novel by Maia Kobabe; Flamer, a graphic novel by Mike Curato; Blankets, a graphic novel by Craig Thompson; and Fun Home, a graphic novel by Alison Bechdel.

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Alberta

Alberta updates TIER system: Businesses can direct compliance payments to on-site technologies

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Modernizing TIER to secure tomorrow

Alberta is seeking to update the Technology Innovation and Emissions Reduction (TIER) system to drive investment at large industrial facilities, helping companies stay competitive and protecting jobs.

This fall, Alberta’s government will introduce updates to the TIER system that would empower Alberta industries to invest in on-site emissions reduction technology that works for their specific businesses. Making Alberta’s highly successful TIER system even more effective and flexible will make industries more globally competitive while maintaining Alberta’s leadership in emissions reductions.

“TIER has always been about Alberta leading the way – proving to the world that it’s possible to increase energy production, grow the economy and lower emissions at the same time. These amendments build on that success by giving industry the certainty and flexibility they need to invest right here at home. We know this work is not finished. We will continue to press the federal government to match Alberta’s leadership with realistic policies and timelines so that together we can keep building an economy that is strong and ready for the future.”

Danielle Smith, Premier

“We are committed to ensuring our industry remains competitive and can once again bring in the capital investment needed to deliver safe, affordable and reliable energy to Canadians and the rest of the world. Enabling them to reinvest their dollars into their own facilities will be good for the environment while growing our economy and creating jobs.”

Rebecca Schulz, Minister of Environment and Protected Areas

“TIER has played a critical role in helping Alberta energy be the most responsibly produced energy in the world. These changes will further allow our major energy companies to increase production and finance new world-leading emission reduction efforts consistent with Alberta’s Emissions Reduction and Energy Development Plan.”

Brian Jean, Minister of Energy and Minerals

Proposed updates to the TIER system include:

  • Recognizing on-site emissions reduction investments as a new way for industry to comply with the TIER system in addition to the current options available, which include paying into the TIER fund or buying credits. This would reward companies for investing directly in emissions reduction technology that encourages innovation, supports local jobs and reduces emissions.
  • Allowing smaller facilities that currently participate in the TIER system to leave or opt out for 2025 to reduce costs and red tape. Smaller facilities below the regulatory emissions threshold can face disproportionate compliance costs under the TIER system, which is mainly designed for large facilities. This change would help smaller industries save money and redirect resources into emissions reduction investments or other operational improvements for more cost savings. It offers flexibility, especially for small manufacturers and rural operations, which protects jobs across Alberta.

These changes will position Alberta, once again, as a world leader ready to meet the challenges and realities of shifting global markets, increased competition and trade uncertainty.

“We are pleased to see the Government of Alberta is taking steps to improve competitiveness of climate policy. Today’s announcement recognizes industry concerns around competitiveness and signals that the province is moving forward to support emissions reduction in a way that helps companies reduce emissions, compete for investment, and create jobs for Albertans. EPAC believes provinces are best positioned to lead on climate policy, and we look forward to continued work with Alberta.”

Tristan Goodman, president and CEO, The Explorers and Producers Association of Canada

“Pathways Alliance appreciates the Government of Alberta’s efforts to support the oil sands industry and protect jobs. Direct investment through the TIER system is expected to encourage continued investment in emission reduction technologies, and advance innovative infrastructure. The oil sands industry looks forward to ongoing work with governments to strengthen global competitiveness and attract investment.”

Kendall Dilling, president, Pathways Alliance

Alberta’s economy is growing and emissions are declining thanks to the province’s common-sense approach. Alberta’s government will continue to work with industry to protect jobs, strengthen competitiveness and maintain Alberta’s position as the destination of choice for global investment.

Quick facts

  • Alberta’s TIER system was established in 2007 and was the first of its kind in North America.
  • Currently the TIER system includes about 60 per cent of the province’s total emissions, helping Alberta’s industrial facilities find innovative ways to reduce emissions and invest in technology to stay competitive, save money and create jobs.
  • The TIER Regulation requires any facility that emits 100,000 tonnes or more of emissions in a year to meet annual emissions reductions using either a facility-specific or a sector benchmark approach.
  • Under the current system, regulated facilities can comply using credits (carbon offsets, emission performance credits or sequestration tonnes) or pay into the TIER fund at $95 per tonne of emissions.
  • Sectors regulated under the TIER system include oil and gas, oil sands mining, electricity, forestry, chemicals, fertilizers, minerals, food processing and waste.
  • Since 2019, Alberta has invested $1.6 billion from the TIER fund into geothermal, hydrogen, energy storage, methane reduction, carbon capture and other technology projects, reducing approximately 70 million tonnes of emissions by 2030 and supporting about 21,000 jobs across the province.

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