AI and data centres must bid for electricity in B.C.

B.C. has launched a competitive bidding process requiring AI and data centre projects to compete for 400 megawatts of electricity over two years; applications close March 18 and decisions are expected by early fall.

British Columbia has launched a competitive bidding process that requires AI and data centre projects to compete for electricity from B.C. Hydro. The first tranche offers 400 megawatts over a two-year period. Energy Minister Adrian Dix said the process is meant to help manage growing, high-load demand. B.C. Hydro president and CEO Charlotte Mitha said an unstructured approach could overwhelm the utility and affect affordability and reliability for everyday customers. Key points: - The initial round allocates 400 megawatts of electricity to be awarded over two years. - Bids will be assessed on criteria including data sovereignty, environmental benefits, First Nations participation and price, with Canadian firms generally noted as having an advantage. - Projects using heat recovery, reduced water use and other efficiencies will be favoured, the energy ministry told CBC News. - Traditional sectors such as mining, LNG, forestry and manufacturing will remain under existing processes and are not required to bid. - Certain projects that are already advanced will be grandfathered under previous rules. - The B.C. Conservative Party criticized the approach in a news release, saying it amounts to "rationing" electricity and risks limiting construction; applications close March 18 and decisions are expected by early fall. Summary: The government says the bidding process is intended to direct power to projects that provide the greatest benefit under a set of policy criteria while allowing existing pathways for traditional industries to continue. Decisions on the first tranche are expected by early fall and the application period closes March 18.