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Energy/Environment

Alberta Utilities Commission rejects power plant for Olds, Alta., data centre plan

Aug 17, 2026 | 3:20 PM

The Alberta Utilities Commission has denied an application to build a natural gas plant in Olds, Alta., that would have powered a massive data centre complex.

Synapse Real Estate Corp. had proposed a 10-building campus with 1.4 gigawatts of power generation about enough to power the City of Edmonton.

Many residents of the largely agricultural community north of Calgary voiced fervent opposition to the project, which would have been located within town limits near homes and businesses.

The commission says in its decision that the project would have been too close to the surrounding community and that Synapse failed to justify why it had chosen that location.

The Alberta government has been courting big tech companies to set up shop in the province, but is prioritizing projects that provide their own power for their data centres so as not to overburden the grid.

“The premier should take responsibility for this,” said Nathan Ip, Shadow Minister for Technology and Innovation, in a statement released Monday. “She started a ‘concierge service’ for foreign billionaires while ignoring the very real concerns of Albertans. Her actions have now put many projects and jobs at risk.” 

“Residents, landowners, families, and Indigenous communities must be properly consulted before projects are approved and announced,” added Ip. “That is the way to build community support and ensure that projects are built properly.”

The commission is tasked with determining whether the accompanying power infrastructure is in the public interest, but decisions around zoning and land use for data centres fall to municipalities.

Related: Alberta NDP gather feedback on AI data centres from central Albertans during town hall

Related: AI data centre, power plant proposed for Olds awaiting further decision

Related: $10-billion data centre development proposed for Olds

Related: Town of Olds welcomes Data District Inc. with major data centre investment

This report by The Canadian Press was first published Aug. 17, 2026.

(With files from rdnewsNOW)