Potential Data Centre Development Sparks Debate in Saskatoon
A proposed data centre development, located just outside of Saskatoon, has raised questions and concerns among local officials and residents. While the site is technically within the Rural Municipality of Corman Park, city council members have expressed interest in understanding the potential implications of such a project on the broader community.
The property in question is an industrial building at 1 Plant Technology Road, currently listed for lease by real estate company Colliers. This former cannabis facility spans 101.25 acres of land, situated across Highway 16 from the south end Costco location. The site includes multiple buildings, a greenhouse, a parking lot, a grey water lagoon, and concrete pads—features that could support large-scale operations.
According to the listing, the space is being marketed as a potential "large scale, secure data centre." But what exactly is a data centre?
Understanding Data Centres
Data centres are facilities that house servers and other computing equipment used to store, process, and distribute large amounts of data. Their importance has grown significantly with the rise of artificial intelligence (AI) development. Companies like IBM emphasize that AI-ready data centres require high-performance graphics processing units (GPUs) and advanced infrastructure, including storage, networking, energy, and cooling capabilities.
As AI applications become more complex, the need for powerful computing resources increases. This translates into higher electricity consumption and greater water usage for cooling systems. Goldman Sachs predicted in 2024 that data centre power demand could rise by 160% by 2030. Major tech companies such as Microsoft and Meta have already invested billions into data centre expansion.
Council Concerns and Regulatory Challenges
During a recent city council meeting, Coun. Jasmin Parker shared that she, Mayor Cynthia Block, and Coun. Scott Ford have received approximately 20 emails raising concerns about the potential data centre. City manager Jeff Jorgenson noted that he only recently became aware of the development, but emphasized that the RM of Corman Park is a separate regulatory authority.
"One of the concerns we’re seeing across North America and the world with data centres is the consumption of water and electricity," Jorgenson said. He added that SaskPower would likely supply the necessary power, and there is no indication that Saskatoon's water resources would be used for the facility.
Jorgenson mentioned that city officials will reach out to the Corman Park administration to learn more about the proposed development and assess any potential impacts on Saskatoon.
Corman Park’s Response
Corman Park chief administrative officer Kerry Hiltz stated that the RM has not yet received an application for a data centre. However, he noted that a potential applicant is exploring an indoor, office-based operation focused on data analysis. This could support sectors such as agriculture, ag-tech, forestry, and natural resources.
Hiltz added that if an application is submitted, the RM would initiate a review process, which may include public notice, technical evaluation, and possible council consideration. However, there is currently no information about when or if an application will be made.
Opportunity or Environmental Concern?
Similar discussions are taking place in Regina, where Bell Canada is planning a data centre in the RM of Sherwood. Protests have occurred, with critics arguing that data centres are harmful to the environment due to their high water and energy consumption. Protester Carla Shirley said, "They take our water, pollute with constant noise and we don’t need them."
On the other hand, organizations like the Greater Saskatoon Chamber of Commerce support data centres as economic opportunities. Chamber CEO Jason Aebig compared data centres to new highways, emphasizing that while construction creates jobs, the long-term benefits come from sustained growth and investment.
Aebig highlighted that Saskatoon has the infrastructure and resources needed to become a major data centre hub in the province.
Ongoing Discussions and Future Outlook
As the debate continues, the future of this potential data centre remains uncertain. Local officials are working to understand the full scope of the project, while residents and business leaders weigh the potential benefits against environmental and resource concerns.
With growing interest in AI and data-driven industries, the role of data centres in Saskatchewan’s economy is likely to expand. However, balancing technological progress with sustainability and community concerns will be key to shaping the region’s future.
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