Economy
AI data centre Hrach Hovhannisyan | Shutterstock

'Our government chooses Canada': Saskatchewan prioritizes national firms for AI data centres as US trade war heats up

Saskatchewan is evaluating more than 30 proposals to build artificial intelligence data centres across the province, with officials establishing new guidelines that prioritize Canadian companies as economic tensions with the United States mount.

The provincial government released its Data Centre Framework to guide investment, safeguard Canadian data sovereignty and protect the domestic power grid during a period of escalating trade friction with Washington.

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The policy outlines six guiding principles for future projects: Canadian ownership, Canadian data sovereignty, Saskatchewan job creation, industry experience, centralized provincial intake and self-supplied power generation.

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Provincial framework emphasizes Canadian data sovereignty

“The reality is that AI is here, and it will play a significant role in our lives and our economy,” said Jeremy Harrison, the minister responsible for Crown utilities, speaking at an AI data centre build site near Regina. “The real question is where the infrastructure that powers AI will be built and whose laws will govern it.”

Harrison stressed that if these facilities are not constructed domestically, the infrastructure and corresponding capital investment will move to the United States or other international jurisdictions.

“Our government chooses Canada,” Harrison said.

Under the new strategy, future proponents must be headquartered and owned in Canada, ensuring that sensitive artificial intelligence computing infrastructure remains governed by Canadian privacy and regulatory laws.

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Grid constraints require projects to supply own power

To prevent added strain on the provincial electrical grid and safeguard utility rates for existing customers, the framework mandates that new developments must supply their own off-grid power generation. Proponents will also be responsible for funding their own infrastructure, completing environmental assessments and utilizing sustainable technologies such as closed-loop water cooling systems.

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The province is currently reviewing more than 30 applications under the framework, following the initial anchor project announced earlier this year: a 300-megawatt, $1.7-billion AI data centre campus being built by Bell Canada in the Rural Municipality of Sherwood.

Developed in partnership with the George Gordon First Nation, the Bell project is projected to generate up to $12 billion in economic activity and create more than 1,600 jobs. Bell Canada’s development will be the last project permitted to connect directly to the SaskPower grid before the off-grid self-supply requirement takes effect.

Foreign tech giants push for access as province holds line on Canadian ownership

Commercial interest in Western Canadian data capacity is accelerating rapidly from both sides of the border. Public registry records reveal that major international firms such as Amazon Web Services Canada Inc. have actively lobbied provincial officials to secure contracts for cloud-based services and infrastructure support.

Despite intense interest from foreign tech giants, provincial officials maintain that keeping infrastructure under domestic ownership remains non-negotiable.

By enforcing strict Canadian ownership requirements while requiring proponents to bring their own power, Saskatchewan is positioning itself to capture massive AI investment on its own terms — ensuring local grid stability and domestic data security even as trade uncertainty across the southern border grows.

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Leslie Kennedy Senior Content Manager

Leslie Kennedy served as an editor at Thomson Reuters and for Star Media Group, followed by a number of years as a writer and editor and content manager in marketing communications, before returning to her editorial roots. She is a graduate of Humber College’s post-graduate journalism program and has been a professional writer and editor ever since.

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