Kamloops, Vancouver to Host New Sovereign AI Data Centre Cluster
Vancouver and Kamloops are set to establish a new cluster of sovereign AI data centres, bolstered by a recent partnership between the federal government and Telus. This initiative aims to enhance Canada’s computing capabilities while aiding local businesses and researchers in the growing AI landscape.
Project Overview
AI Minister Evan Solomon announced the project during a press conference in Vancouver. According to Solomon, the initiative is designed to ensure Canadian data remains secure while providing vital computing resources for innovation.
Data Centre Development
The plan involves two major components:
- Expanding Telus’s current facility in Kamloops
- Constructing two new data centres in Vancouver
The first Vancouver data centre will be located at the former Hootsuite headquarters in Mount Pleasant, with operations expected to commence later this year. Additionally, a second facility at 150 West Georgia Street is scheduled to open in 2029.
Power Requirements
The overall power draw for the project will begin at 85 megawatts, scaling up to 150 megawatts by 2032, aligning with the government’s plans for substantial growth in sovereign AI infrastructure.
Environmental Considerations
Telus aims to position this project as environmentally responsible. The facilities will reportedly run on 98% clean hydro power and plan to recycle enough waste energy to heat around 150,000 homes.
Furthermore, the project is designed to minimize water use, with expectations that it will consume 90% less water than typical data centres. Telus is also exploring the possibility of using recycled water from B.C. Place stadium.
Government Support
The B.C. government supports the initiative, having introduced its own AI data centre power policy in January. This policy encourages companies to apply for a portion of the capped electricity available, favoring projects that demonstrate data sovereignty, environmental benefits, and First Nations involvement.
Premier Ken Sim of Vancouver has expressed strong support for the initiative, describing the data centres as “world-class facilities.”
Community Concerns
Despite the governmental backing, the proposal has met with criticism. Some communities are voicing concerns about the environmental impact of new data centres. Notably, a plan for a facility in Nanaimo has faced opposition due to the projected high water consumption.
B.C. Green Party Leader Emily Lowan has called for a moratorium on new data centres until comprehensive regulations are in place. Critics argue that the government is prioritizing rapid development over environmental protections.
Broader Industry Impact
The increasing demand for AI capabilities has sparked debates across North America regarding the environmental implications of data centre expansions. Notable studies suggest that data centres significantly contribute to global water consumption, highlighting a growing concern for sustainability in the tech sector.
The developments in Vancouver and Kamloops mark a significant step for Canada’s position in the global AI market while emphasizing the need for balanced growth that addresses environmental and community impacts.




