Saskatoon chamber applauds 'prudent' study, moratorium on data centres

Saskatoon chamber applauds 'prudent' study, moratorium on data centres

City council votes to gather information on data centres, restrict them until study done

Saskatoon city council made the right decision to pump the brakes on data centres until they can be studied further, according to the Greater Saskatoon Chamber of Commerce.

Council unanimously voted on Wednesday to support a study of the positive and negative elements of data centres and to restrict them until the information is gathered.

Chamber CEO Jason Aebig called the study "forward-thinking and prudent" in an email Wednesday and called data centres "critical pieces of infrastructure for economic and community development."

The motion by Coun. Scott Ford tasks city administration with reporting back on the risks and benefits of data centres, which have come under increased scrutiny as they proliferate. It also requires an interim bylaw to restrict the use of land for data centres until the study is complete.

"In the case of data centres, common sense is giving way to fear campaigns," Aebig said. "It’s disappointing to see some of our political leaders using data centre development as just another wedge issue to gain political support. It’s too important for that."

Bell Canada is building Canada's largest artificial intelligence data centre just outside Regina, a 300-megawatt facility that is estimated to cost $1.7 billion.

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That project was approved by the council of the Rural Municipality of Sherwood in April, as about 100 protesters gathered outside.

The council was composed of three elected members and four who were appointed by the provincial government following the resignations of the others weeks earlier.

Saskatchewan's NDP Opposition is holding an open house in September in Saskatoon to address speculation about a possible AI data centre planned for land in the Rural Municipality of Corman Park

Ford told reporters after this week's city council meeting his motion was not prompted by a current request for a data centre in Saskatoon. But he said the rapid expansion of AI means it's only a matter of time.

"That means that eventually someone's going to knock on the door, probably around Saskatoon and say, 'Hey, are you interested in a data centre?'" Ford said.

"And this gives us an opportunity to collect all the information to do the proper analysis, inform the people with the proper information on why we make the decisions that we make."

Saskatoon's chamber of commerce wants in on the AI data centre rush — but would the price be worth it?

Ford said the larger data centres have raised environmental concerns about their use of energy and water. But he added there are economic opportunities and potential revenue opportunities for city hall, since it operates water and power utilities.

"We're seeing a lot of noise out there, throughout the province, throughout the country on data centres," Ford said

Ford said he expects the study to take about six months to complete. Council is expected to vote on a moratorium on data centres next month.

Canada's data centre boom, and backlash

Coun. Randy Donauer wants city council to reconsider the amount of money going to public art projects.

Donauer told reporters after Wednesday's council meeting he plans to seek council support to look at the city's policy for funding public art.

The policy apportions one per cent of the cost of certain public projects, where the city's contribution is $5 million or more, for art. The maximum amount for a public art project is set at $500,000.

Donauer was responding to concerns raised by the Canadian Taxpayers Federation about the city paying a Calgary artist $297,490 for an installation with three artificial rocks.

"I think the frustration and the response we're getting from the community is valid," Donauer said. "I think these are the types of questions people should be asking."

Donauer added he does not think politicians should be choosing art projects, but wonders whether the amount is appropriate.

Budget backed for new fire stations

Another Saskatoon city project has been hit by inflation.

Council approved an increase to the budget Wednesday for two new fire stations planned for the west side of the city.

The bids to build the fire stations came in higher than the combined budget of $18.7 million, so a higher budget of $21.2 million was endorsed.

The extra money would come from a reserve fund for capital projects, but the city will also apply for federal funding from the Build Canada Strong Community Fund.

The first of the two fire stations, which would be the city's 10th, is planned to be built in Dundonald Park on Hunt Road. The next fire station is slated for property on Dawes Avenue in the Southwest Industrial area.

Phil Tank is an award-winning journalist based in Saskatoon. He can be reached at phil.tank@cbc.ca.