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TransAlta engages major data center operators to build in Alberta amid power policy shifts

Canadian energy leader TransAlta is now actively engaging with hyperscale data center operators interested in building sites across Alberta. In its Q3 report, TransAlta highlighted how it is working to make select sites “turnkey ready,” a move that could soon accelerate Alberta’s position as a prime location for large-scale data operations.

Attracted by Alberta’s deregulated energy market, multiple hyperscalers are considering the province for their data operations. John Kousinioris, TransAlta’s CEO, explained that Alberta’s setup creates a favorable environment for power-hungry data centers. Additionally, Alberta’s government is encouraging data center growth, especially for AI-focused projects.

However, new operators will now face extra requirements. Premier Danielle Smith has mandated that incoming data centers “bring your own power.” With this policy shift, new operators must partner with energy providers to secure dedicated electricity, ensuring the province’s grid remains balanced and resilient.

In line with this strategy, TransAlta plans to suspend operations at its 401MW Sundance 6 gas-fired plant by April. The site, however, is being earmarked for future data center support or grid reliability initiatives. Meanwhile, the company has recently seen major energy deals, such as Microsoft’s 15-year renewable power purchase agreement, underscoring the appeal of Alberta’s energy market for tech giants.

With 22 existing data centers, Alberta’s infrastructure already includes key sites in Calgary and Edmonton. Furthermore, eStruxture’s 90MW project in Rocky View County, set to open by 2026, will further cement Alberta’s role in the data sector.

By fostering a supportive regulatory and energy environment, Alberta is now on its way to becoming a significant hub in North America’s digital economy, powered by TransAlta’s adaptable and reliable energy solutions.

As hyperscalers explore Alberta’s potential, TransAlta’s approach offers a balanced solution for growth, innovation, and grid stability in an increasingly data-centric world.

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