Meta (NASDAQ: META) plans to invest more than C$13 billion (US$9.2 billion) in Alberta to develop its first data centre in Canada, in one of the largest private-sector investments announced in the country.

The project is expected to create more than 3,000 construction jobs and support around 300 operational roles. Alberta’s government estimates the development could generate about C$250 million a year in provincial benefits through royalties, taxes, levies and fees.

Meta will also invest around C$60 million (US$42.3 million) in local infrastructure upgrades, including road and water infrastructure.

The project is linked to wider power infrastructure development in the province. Alberta said ratepayers could see transmission costs on their electricity bills fall by up to 6% through Project Greenlight, a C$4.6 billion, 970MW natural gas-fired power generation facility announced last week by Pembina Pipeline Corporation, Morgan Stanley Infrastructure Partners and Kineticor.

“AI is transforming the global economy, and Alberta is making sure we lead rather than follow. We created the right conditions to attract world-leading investments while protecting the interests of Albertans,” said Danielle Smith, Premier of Alberta.

Smith added that the project is expected to create thousands of jobs, generate hundreds of millions of dollars in annual revenue and help make electricity more reliable and affordable.

Alberta has introduced rules for large AI data centres, with requirements aimed at protecting grid reliability, limiting pressure on water resources and ensuring large projects cover the infrastructure needed to support their operations.

Under the framework, large data centre operators are required to bring their own power, pay for related infrastructure, and meet environmental and water requirements.

Gary Demasi, vice president of data centre strategy and development at Meta, said Alberta’s Sturgeon County was selected for the company’s first Canadian data centre because of its access to infrastructure and energy, workforce availability and local partners.

“We look forward to creating jobs, partnering with community and government leaders, and driving positive impact for years to come,” Demasi said.

Power, water safeguards

Meta’s Sturgeon data centre will use a closed-loop liquid cooling system with dry cooling, meaning the facility will not use operational water for cooling. Water use will be limited to domestic needs, fire protection and equipment maintenance, subject to approvals under Alberta’s Water Act.

The campus will be developed under Alberta’s “bring your own power” framework. The project will use a mix of grid-connected electricity and new on-site natural gas generation, reducing its reliance on Alberta’s electricity grid.

Meta will fund the new generation and grid infrastructure needed to support the data centre. The province said the project’s own generation will reduce its draw on Alberta’s grid and could lower transmission costs on utility bills by up to 6%.

RJ Sigurdson, Alberta’s minister of affordability and utilities, said the data centre campus shows Alberta can drive and lead global innovation on its own terms.

“By blending grid-connected power with self-generation, this project is designed to ensure the reliability and affordability of the power that Albertans, our businesses and our communities depend on every day,” Sigurdson said.

The Sturgeon data centre will be located in Alberta’s Industrial Heartland, a designated industrial zone not used for farming, housing or food production. The project also includes digital infrastructure linking Alberta to wider North American networks.

The Alberta Electric System Operator independently determined that 1,200MW could be allocated to data centre projects without affecting grid reliability or stability. The assessment also accounted for population growth to ensure the connections would not create power shortages or negatively affect ratepayers.

Alberta’s data centre levy applies to large grid-connected data centres and is deductible against provincial corporate income tax.

The province’s guidelines direct data centre projects to previously developed industrial land. Land use decisions remain under municipal control, while provincial guidance encourages projects to avoid agricultural land.