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POLITICS · AUG 20, 2026

Mark Carney Faces Criticism Over AI Data Centre Energy Policy

Prime Minister Mark Carney is under fire for allowing AI data centres to use natural gas and nuclear power instead of mandating renewable energy.

Prime Minister Mark Carney is facing criticism for failing to mandate renewable energy for AI data centres as Canada seeks to attract foreign capital for infrastructure. While Carney is hosting a global investors' summit in Toronto to draw investment, his government has not required these facilities to use clean energy, leading critics to argue he has retreated from previous climate commitments.

Instead, the federal government supports provincial strategies that rely on non-renewable sources. The Government of Alberta is marketing the province as a hub where data centres can be powered by natural gas. This strategy includes a proposed $70-billion gas-powered facility by O’Leary Digital in northern Alberta, though the project currently faces legal challenges from the Sturgeon Lake Cree Nation.

Similarly, the Province of Ontario plans to power its data centres with nuclear energy, a move that also carries federal backing. These policies contrast with requirements in jurisdictions such as Ireland and New South Wales, where tech companies are mandated to provide their own renewable energy sources.


Reported across 5 outlets
Actors
Mark CarneySturgeon Lake Cree NationGovernment of AlbertaProvince of Ontario

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