RM of Sherwood approves Bell AI data centre expansion

Council approves rezoning

The Rural Municipality of Sherwood council unanimously passed the final readings of bylaws needed to rezone 895 acres of additional land for Bell Canada's 1.2-gigawatt AI data centre expansion, according to Yahoo News Canada. The re-zoning changes the land's permissible use from agricultural to light industrial.

Coun. Kevin Chekay was not present after recusing himself from the vote. He owns some of the land that Bell is seeking to purchase, south of Regina's city limits.

Council also adopted an amendment to the existing development and servicing agreement between Bell and the R.M., which was passed in April. The amendment includes Bell's updated plans to build as many as nine more data halls in the future.

Public concerns raised

More than a dozen people spoke Thursday during the legislated public hearing portion of the bylaw process. Almost all delegates voiced concerns over the size of Bell's data centre and its proximity to Regina. They also cited environmental impacts and the level of transparency and public engagement regarding the project.

Several noted that two local First Nations — Standing Bear Dakota Nation and Carry the Kettle First Nation — have publicly called for Bell and the provincial government to engage with them under the Crown's duty to consult.

Regina resident Genevieve Robinson told council, "You are standing up for the one per cent." She added, "We now have on record that you have chosen a billion-dollar company over your own constituents."

Interim reeve Ray Orb said councillors heard the concerns but disagreed with claims that the R.M. has been shutting out the public. Sherwood closed the doors on previous meetings because they were disrupted, he noted. "What I see is the answers are there for people if they want to listen and want to learn more about it," Orb said during the meeting.

Next steps and financial details

Bell AI Fabric president Dan Rink said the company feels it has been open and willing to speak with local residents. "I think we continue to hear a lot of misconceptions about the project," Rink said after the meeting. "We've designed these facilities to be a good neighbour."

Rink addressed concerns about foreign control over data held by Bell's contracted tenants Cerebras and CoreWeave, both of which are American companies. Rink responded that "sovereignty is about where the data sits, who owns the infrastructure. Bell owns and operates the campus on Bell's network, under Canadian law."

From here, Rink said Bell's expansion will not require further approvals from the R.M. However, he noted that the company will complete a provincially mandated environmental impact study for the Ministry of Environment before proceeding.

Rink shared that Bell stands to pay $8 million in annual property taxes to the R.M. for 1,055 acres of land that the expanded facility is expected to occupy. He said the project will also generate $3 billion in provincial sales tax on construction, plus recurring taxes every three to four years as infrastructure is refreshed.

Asked about the likelihood that Bell will follow through on the full $50-billion plan, Rink said investment will rely on client interest but demand is "strong." "We wouldn't go through the work to procure the property, rezone it and start the environmental impact process if we weren't certain we'd build it," Rink said.

The first data halls at Bell's campus are expected to come online in spring 2027. Any future construction plans are targeting late 2027 or beyond, according to Bell.

Sources

• ctvnews.ca: Bell AI data centre project moves forward after bylaw approval
• ca.news.yahoo.com: R.M. of Sherwood approves Bell Canada’s AI data centre expansion amid public backlash - Yahoo News Canada

This article was drafted with AI assistance and checked against the sources above. Company claims are reported as claims. Cover image is AI-generated.