New Brunswick resident finds third data centre proposal in his neighbourhood

FREDERICTON — Chris Watson discovered a third major data centre is being considered for his Saint John neighbourhood after reviewing correspondence from a provincial development agency.

"It's not surprising, but it's just deeply disappointing," said Watson, who leads citizen opposition to a separate data centre project.

He said the correspondence shows New Brunswick is entertaining data centre proposals without sharing important information with affected residents and lacks adequate rules to protect citizens and the environment.

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NB Power confirmed it has 10 applications from data centre projects that would need up to 900 megawatts of power.

The Crown utility declined to identify all the projects, citing confidentiality, and would not confirm if publicly known proposals are on the list.

A spokesperson said the 10 applications will not necessarily be approved to connect to the grid, and large projects would require contractual flexibility to protect the grid and avoid pressure on customer rates.

The provincial government is working on a policy framework for data centre development and recently sought public feedback.

"Data centre development could be an opportunity for New Brunswick to generate economic growth through tax revenue, private sector investment, construction and permanent job creation, and potential offshoot economic and community benefits," the government said on its feedback page.

Watson, part of the grassroots Save Lorneville group, says the government should impose a moratorium on new data centre projects until it has stronger protective policies.

None of the publicly known proposed data centres in New Brunswick have final approval.

A 400-megawatt data centre is at the heart of a $2 billion artificial intelligence hub proposed by Beacon Data Centers of Alberta and U.S. firm VoltaGrid.

That project, billed as Atlantic Canada's first hyperscale AI facility, would get about half its power from the grid and the rest from an on-site power plant and is under regulatory review.

This month, Fredericton-based Faster Than Light introduced its plan for a $2.7 billion, 375-megawatt data centre.

Watson's group also discovered a proposal from U.S. firm Cross River Infrastructure Partners for the same industrial park as the Beacon project.

Cross River wrote to the Opportunities NB minister in April asking for 50 megawatts for a "large-scale data centre campus" with potential for future expansion.

Thomas Bateman, a political science professor at St. Thomas University in Fredericton, said opposition stems partly from anxiety about artificial intelligence and the facilities' massive energy use.

New polling from the Angus Reid Institute found 64 per cent of Canadians say their provincial governments should limit the development of large data centres.

The online survey was conducted from Sept. 8-16 among a representative randomized sample of Canadian adults who are members of the Angus Reid Forum.

Canadian opposition appears at odds with the federal Liberal government's promotion of a major AI data-centre buildout for its digital-sovereignty agenda.

Some provinces are pursuing the facilities as a revenue stream.

Bell Canada is building what's expected to be the country's largest Canadian-owned data centre outside Regina, Sask., a $1.7-billion plant using 300 megawatts.

In Alberta, Meta announced a $13-billion-plus, one-gigawatt AI data centre north of Edmonton earlier this year, sparking protests.

In September, Nova Scotia Premier Tim Houston said his government would consider proposals from the sector.

Newfoundland and Labrador's energy minister said the province could sell excess power to a data centre.

In Quebec, Hydro-Quebec is proposing to double the rates that data centres pay as large-power customers.

A consultant hired by Hydro-Quebec told a public hearing that energy consumption from data centres in North America could increase by 133 per cent between 2024 and 2030.

With files from The Canadian Press and BNN Bloomberg