Aug 29, 2026
A sudden rush of massive artificial intelligence data centre projects is catching Saskatchewan communities off guard, sparking calls for provincial intervention as local leaders struggle to manage Big Tech’s massive appetite for energy and water.
At least two major developments have landed in the province over the past six months, headlined by Bell Canada’s massive 300-megawatt AI campus under construction south of Regina in the Rural Municipality of Sherwood. Nearby, Aztec AI Health has approached the City of Moose Jaw with plans for a 150-megawatt facility, while Saskatoon city council recently voted to study the impacts of potential builds proposed for the surrounding Rural Municipality of Corman Park.
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Yet despite the sheer scale of these projects, critics say Saskatchewan lacks a clear regulatory framework, leaving local councils to handle multi-billion-dollar approvals with little provincial guidance.
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Local councils bear burden of complex approvals
Deciding whether a data centre gets built currently falls on municipal councils. That means local leadership teams accustomed to handling routine farm zoning or light industrial parks are suddenly tasked with evaluating complex technical plans, massive power draws and heavy cooling systems.
The lack of provincial oversight came into sharp focus after the province confirmed its Ministry of Environment did not conduct an environmental impact assessment for the Bell Canada project near Regina. Federal regulators also declined to step in, noting construction had already started in late April before review requests arrived.
Instead, Bell Canada conducted its own self-assessment on flagged issues like noise and drainage, leaving community members frustrated. The project has already drawn two public protests and an opposing petition from residents worried about water consumption and industrial noise.
Speaking at a community event in Moose Jaw, Opposition NDP Leader Carla Beck called the current confusion unacceptable, stating it remains unclear what criteria the province is applying to these massive builds.
“Some of the issues that people are raising, I mean, they’re very reasonable questions that the government should have answers to,” Beck said.
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Massive energy needs and self-generated power raise questions
The biggest flashpoint in the data centre rush comes down to basic utility demands. AI servers require enormous amounts of electricity to run around the clock, prompting tech developers to bring their own power solutions to the table.
In documents submitted to the Rural Municipality of Sherwood, Bell Canada revealed plans to build an on-site natural gas plant and solar farm to supplement its power needs. While adding dedicated power generation helps offset demand on the main power grid, residents and environmental advocates worry about the broader impact of operating fossil-fuel generation alongside high-density tech hubs.
Under Saskatchewan law, projects using substantial resources, creating unregulated waste or introducing new resource-related tech are supposed to trigger an environmental assessment. Yet the Ministry of Environment did not explain why Bell’s project failed to trigger a formal review under those rules, stating only that not all developments require one and that companies must follow standard laws.
Calls grow for clear provincial standards
Tech proponents maintain that data centres bring vital technology infrastructure, construction jobs and long-term tax revenue to the province. Companies also point out that modern facilities use closed-loop cooling systems engineered to minimize overall water use.
However, local leaders argue that relying on corporate self-assessments is not enough when dealing with facilities of this size. As cities like Saskatoon order independent studies to weigh the pros and cons of incoming proposals, municipal groups continue pushing the province for clear, enforceable rules on power sourcing, water rights and environmental reviews before more ground is broken.
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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.
