British Columbia is imposing strict limits on electricity access for artificial intelligence companies and data centers, marking a sharp departure from the province’s previous open-access policy.
Energy Minister Adrian Dix tabled legislation Monday that would cap power availability for AI operations at 300 megawatts every two years, with an additional 100 megawatts reserved for data centers. Companies in these sectors would have to compete through a bidding process rather than connecting to the grid on demand.
The proposed changes permanently ban new cryptocurrency mining operations from connecting to BC Hydro’s electricity grid, formalizing a moratorium that began in late 2022.
“We won’t make that mistake. We will prioritize the projects that provide the best, greatest benefit to British Columbians,” Dix told reporters Monday.
The new framework gives natural resource and manufacturing projects priority grid access, while limiting AI, data centers, and hydrogen-for-export operations to allocated amounts. The policy abandons BC’s current first-come, first-served approach to grid connections.
The province plans to begin the competitive allocation process in January 2026. Officials will release detailed regulations in November.
Charlotte Mitha, president and CEO of BC Hydro, said in the government announcement that the utility is seeing unprecedented demand from both traditional and emerging industries, requiring careful management to maintain grid reliability and affordable energy.
Jurisdictions worldwide face surging electricity demand from energy-intensive AI operations and data centers. British Columbia cited concerns that high-power, low-employment operations could crowd out industries that generate more jobs and tax revenue.
Existing cryptocurrency mining operations can continue under current agreements, but the province will not approve any new projects.
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