Alberta Government's Data Centre Push Sparks Outrage Over Higher Electricity Prices

Alberta's government is under fire for its plan to increase natural gas supply and demand to attract AI data centres, which critics say will lead to higher electricity prices for ordinary Albertans.

A leaked document, labelled a 'cabinet report', outlines the provincial government's intentions to wrest regulatory control over Alberta's main natural gas transmission line from the federal Canada Energy Regulator. This would create two new government-owned corporations: one to force companies to build pipeline expansions based on government priorities, and another to build and operate pipelines itself.

The document estimates that building a pipeline to meet government expectations could cost as much as $6 billion. It also notes that increased demand for natural gas from AI data centres could lead to higher electricity prices for other consumers, including households and businesses.

The move has sparked outrage among critics, who accuse Premier Danielle Smith of prioritizing the interests of foreign billionaire investors over those of ordinary Albertans. Naheed Nenshi, the NDP leader of Alberta's Opposition, said that Smith is 'rolling out the red carpet' for data centres, which will cause higher electricity prices and spike heating bills.

The document also highlights the government's desire to grow the oil and gas sector, with the goal of attracting more hyper-scale data centre capital and other investors. Critics say this plan will trample Treaty Rights and lead to increased royalties for the government at the expense of consumers.