Why here? What will it do? Sask. residents question need for AI data centre after RM approval

Calls to stop a proposed AI data centre fell short as Sherwood council gave unanimous approval, despite various concerns. Sierra D’Souza Butts reports.

What’s projected to be Canada’s largest purpose AI data centre has sparked conversations about the increased use of artificial intelligence.

As AI rapidly expands, both technologically and physically - in the form of data centres - so does the debate surrounding it.

On Monday, the council for the Rural Municipality (RM) of Sherwood approved its development agreement with Bell Canada (BCE) for the company’s proposed 300-megawatt AI data centre outside of Regina.

The decision has seemingly insured that Regina will be the latest city on the front lines of that debate.

• Download the CTV News app to get breaking news alerts sent to your device

During Monday’s council meeting, residents gathered outside the RM’s offices to voice their displeasure with the prospect of an AI data centre on Regina’s outskirts.

“Does the community really want AI?” asked Nicholas Fruzesy, who attended the protest. “It’s just there to essentially replace workers and make human jobs obsolete.”

“I’m feeling pretty upset. It’s frustrating,” another concerned resident, Alex Winters, told CTV News. “A lot of our community is very upset about AI data usage in general.”

The protestors’ concerns and criticisms stemmed from two main areas: opposition to the use of AI itself and the potential environmental effects of the data centre on the surrounding community.

These gripes are certainly not without reason, according to Brian McQuinn who serves as the CEO of CIPHER, an AI startup aimed at detecting and identifying misinformation online. He is also an associate professor of politics and international studies at the University of Regina.

McQuinn cited the experiences of some communities in the U.S. that have certainly given cause for concern for those north of the border.

“We are seeing in West Virginia and states like that, people’s electric bills are doubling and they are one of the largest hosts for these kinds of data centres,” he explained. “The question always comes down to, and it is not often clear, what are the actual implications for the average person in Regina?”

The development plan for the centre lays out provisions for noise and light pollution as well as water use. SaskPower and SaskEnergy have said the centre will be powered through a combination of natural gas, solar and wind. The 300 megawatts represents five per cent of the province’s generating capacity.

‘Data sovereignty’ is vital

The race to further develop AI technology is a race Canada cannot afford to lose, according to McQuinn. That’s why the concerns of local residents also need to be balanced with the ‘unequivocal good’ of ensuring Canada develops “data sovereignty.”

“This is always the challenge of these situations, having data sovereignty in Canada for our AI systems and even for our research is extraordinarily important right now,” he said. “A lot of it is backed up in the U.S., and therefore they have access to that data. It is an unequivocal good that we have data sovereignty.”

“The challenge always is sort of the ‘Not in my backyard syndrome,’” he added.

Citing his own work with CIPHER, McQuinn argued that investing in the research and development of AI technology will help defend Canadians against rampant misinformation and disinformation online.

“We need to make sure that we as a country are protecting our democracy and democratic discourse by building AI systems, some of which we’ve done to be able to protect Canadians,” he explained.

“Because most of the organizations and companies that work with our government and our companies are all based in the U.S. and increasingly, the United States and some of its senior members, are the source of most of the disinformation targeting Canada.”

RM support

Following council’s meeting on Monday, interim reeve for the RM of Sherwood Ray Orb said council was confident in their decision after hearing from a group of local ratepayers.

“Most of their concerns were incorporated within the agreement itself, but there are two things that were understood by us and Bell that needed to elaborate a bit more on,” explained Orb.

The two concerns were in regards to water testing and noise levels once the facility is built.

When asked if the facility would have any environmental impacts, a spokesperson for Bell Canada elaborated on the design and technical aspects of the proposed facility, as well as its purpose.

“The sound, the water, the drainage, none of those are, [in] reality, based on our design. We’re not using any water, zero metres. We’re not going to generate infrasound beyond our property line,” said Dan Rink, president of AI Fabric for Bell Canada.

“The use for these facilities, a big portion of the use is for government and research purposes through off-take agreements we have with our partners to be able to take control of those chips and services and have Bell operate them in a way that’s fully sovereign.”

McQuinn did note the centre will most likely benefit his research and the efforts of other academics. However, he says it remains to be seen how much Regina and Saskatchewan will benefit from the project.

“This is the question, ‘What is the actual benefit to the province?’” he said. “It will probably be a benefit to me directly, because they will probably have credits and stuff that we can use.”

As for the local benefits, Orb pointed to the jobs that will be created to build the centre and later operate it.

“I know people are concerned about losing their jobs, but if you look at the perspective of actual job opportunities I know this is bringing lots of job opportunities to this area,” he said.

“I think it will be positive even for the city of Regina.”

Construction of the data centre is scheduled to start in the spring and will come online in stages, beginning in the first half of 2027.

RELATED STORIES:

• Protesters gather as RM of Sherwood approves AI data centre agreement with Bell Canada
• Here are the provisions for the AI data centre agreement between Bell Canada and the RM of Sherwood
• Saskatchewan NDP asking public to submit questions, concerns over AI data centre
• ‘It’s not something that we need’: Regina residents rally against AI data centre
• Planning documents reveal layout of $12 billion data centre near Regina
• Regina residents against AI data centre start letter writing campaign
• RM of Sherwood Reeve, 3 councillors resign
• Here’s how Saskatchewan will power Bell Canada’s AI data centre near Regina
• ‘Critical infrastructure’: Bell Canada makes record investment with AI data centre build
• Edenwold ratepayers ask RM to ‘just say no’ to bylaw amendment which may allow data centres
• Regina may soon be home to an AI data centre, documents show