Electricity System More Accountable to Nova Scotians

Alberta Data Centers fuel the digital economy with cloud computing, AI, and streaming, leveraging renewable energy and low-cost power; yet grid capacity, sustainability, efficient cooling, and regulatory frameworks remain critical considerations for reliable growth.

Key Points

Alberta facilities for cloud, AI, and digital services, balancing energy demand, renewable power, and grid reliability.

✅ Low electricity costs and renewables attract hyperscale builds

✅ Grid upgrades needed to meet rising, 24/7 workloads and cooling

✅ Workforce training aligns with IT, HVAC, and electrical roles

As Alberta continues to evolve its energy landscape, the recent surge in data center projects is making headlines. With companies investing heavily in this sector, Alberta is positioning itself as a key player in the digital economy. This trend, however, brings both opportunities and challenges that need careful consideration.

The Digital Economy Boom

Data centers are essential for supporting the growing demands of the digital economy, which includes everything from cloud computing to streaming services and artificial intelligence. As businesses increasingly rely on digital infrastructure, the need for reliable and efficient data centers has skyrocketed. Alberta has become an attractive destination for these facilities due to its relatively low electricity costs, abundant renewable energy resources, and favorable regulatory environment, according to a 2023 clean grids outlook that highlighted the province.

The influx of major tech companies establishing data centers in Alberta not only promises job creation but also contributes to the provincial economy. With investments pouring in, local businesses may see increased opportunities for partnerships, supplies, and services, ultimately benefiting the broader economic landscape, though proposed market changes could influence procurement and siting decisions.

Energy Demand and Infrastructure

While the growth of data centers can drive economic benefits, it also raises important questions about energy demand and infrastructure capacity, questions that have intensified since Kenney-era electricity changes in the sector. Data centers are energy-intensive, often requiring significant amounts of electricity to operate and cool their servers. As these facilities multiply, they will place additional pressure on Alberta's power grid.

The province has made strides in transitioning to renewable energy sources, with a defined path to clean electricity that aligns well with the goals of many data center operators seeking to reduce their carbon footprint. However, the challenge lies in ensuring that the electricity grid can meet the increasing demand without compromising reliability. The integration of more renewable energy into the grid requires careful planning and investment in infrastructure to handle variable supply and maintain a stable energy flow.

Environmental Concerns

The environmental implications of expanding data centers are also a point of concern. While many tech companies prioritize sustainability and aim for carbon neutrality, the reality is that increased energy consumption can contribute to greenhouse gas emissions if not managed properly, especially when regional export restrictions constrain low-carbon power flows. Alberta’s reliance on fossil fuels for a significant portion of its energy supply raises questions about how these data centers will impact the province's climate goals.

To address these concerns, there is a need for policies that encourage the use of renewable energy sources specifically for data center operations. Incentives for companies to invest in green technologies, such as energy-efficient cooling systems or on-site renewable energy generation, could help mitigate the environmental impact.

Workforce Development

Another critical aspect of this data center boom is the potential for job creation. Data centers require a range of skilled workers, from IT professionals to engineers and maintenance staff. However, there is a pressing need for workforce development initiatives to ensure that Albertans are equipped with the necessary skills to fill these roles.

Educational institutions and training programs must adapt to the changing demands of the job market. Collaborations between tech companies and local colleges can foster specialized training programs that prepare workers for careers in this evolving sector. By investing in workforce development, Alberta can maximize the benefits of data center growth while ensuring that its residents are prepared for the jobs of the future.

The Future of Alberta's Data Center Landscape

Looking ahead, Alberta’s data center landscape is poised for continued growth. The province's commitment to diversifying its economy, coupled with its abundant energy resources, makes it an appealing choice for tech companies. However, as the industry expands, careful consideration must be given to energy management, environmental impact, and workforce readiness, especially as Alberta changes how it produces and pays for electricity.

Regulatory frameworks will play a crucial role in shaping the future of data centers in Alberta, as the province pursues a market overhaul that could affect costs and reliability. Policymakers will need to balance the interests of businesses, environmental concerns, and the need for a reliable energy supply. By creating a supportive environment for innovation while addressing these challenges, Alberta can emerge as a leader in the digital economy.

The rise of data centers in Alberta marks an exciting chapter in the province's economic evolution. With the potential for job creation, technological advancement, and economic diversification, the opportunities are significant. However, it is essential to navigate the associated challenges thoughtfully. By prioritizing sustainability, infrastructure investment, and workforce development, Alberta can harness the full potential of this burgeoning sector, positioning itself as a key player in the global digital landscape.

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Crouching Yeti APT targets energy infrastructure with watering-hole attacks, compromising servers to steal credentials and stage intrusions; Kaspersky Lab links the Energetic Bear group to ICS threats across Russia, US, Europe, and Turkey.

Key Points

Crouching Yeti APT, aka Energetic Bear, is a threat group that targets energy firms using watering-hole attacks.

✅ Targets energy infrastructure via watering-hole compromises

✅ Uses open-source tools and backdoored sshd for persistence

✅ Scans global servers to stage intrusions and steal credentials

A hacker collective known for attacking industrial companies around the world have had some of their infrastructure identified by Russian security specialists.

Kaspersky Lab said that it has discovered a number of servers compromised by the group, belonging to different organisations based in Russia, the US, and Turkey, as well as European countries.

The Russian-speaking hackers, known as Crouching Yeti or Energetic Bear, mostly focus on energy facilities, as seen in reports of infiltration of the U.S. power grid targeting critical infrastructure, for the main purpose of stealing valuable data from victim systems.

Hacked servers

Crouching Yeti is described as an advanced persistent threat (APT) group that Kaspersky Lab has been tracking since 2010.

#google#

Kaspersky Lab said that the servers it has compromised are not just limited to industrial companies. The servers were hit in 2016 and 2017 with different intentions. Some were compromised to gain access to other resources or to be used as intermediaries to conduct attacks on other resources.

Others, including those hosting Russian websites, were used as watering holes.

It is a common tactic for Crouching Yeti to utilise watering hole attacks where the attackers inject websites with a link redirecting visitors to a malicious server.

“In the process of analysing infected servers, researchers identified numerous websites and servers used by organisations in Russia, US, Europe, Asia and Latin America that the attackers had scanned with various tools, possibly to find a server that could be used to establish a foothold for hosting the attackers’ tools and to subsequently develop an attack,” said the security specialists in a blog posting.

“The range of websites and servers that captured the attention of the intruders is extensive,” the firm said. “Kaspersky Lab researchers found that the attackers had scanned numerous websites of different types, including online stores and services, public organisations, NGOs, manufacturing, etc.

Kaspersky Lab said that the hackers used publicly available malicious tools, designed for analysing servers, and for seeking out and collecting information. The researchers also found a modified sshd file with a preinstalled backdoor. This was used to replace the original file and could be authorised with a ‘master password’.

“Crouching Yeti is a notorious Russian-speaking group that has been active for many years and is still successfully targeting industrial organisations through watering hole attacks, among other techniques,” explained Vladimir Dashchenko, head of vulnerability research group at Kaspersky Lab ICS CERT.

Russian government?

“Our findings show that the group compromised servers not only for establishing watering holes, but also for further scanning, and they actively used open-sourced tools that made it much harder to identify them afterwards,” he said.

“The group’s activities, such as initial data collection, the theft of authentication data, and the scanning of resources, are used to launch further attacks,” said Dashchenko. “The diversity of infected servers and scanned resources suggests the group may operate in the interests of the third parties.”

This may well tie into a similar conclusion from a rival security vendor.

In 2014 CrowdStrike claimed that the ‘Energetic Bear’ group was also tracked in Symantec's Dragonfly research and had been hacking foreign companies on behalf of the Russian state.

The security vendor had said the group had been carrying out attacks on foreign companies since 2012, with reports of breaches at U.S. power plants that underscored the campaign, and there was evidence that these operations were sanctioned by the Russian government.

Last month the United States for the first time publicly accused Russia in a condemnation of Russian grid hacking of attacks against the American power grid.

Symantec meanwhile warned last year of a resurgence in cyber attacks on European and US energy companies, including reports of access to U.S. utility control rooms that could result in widespread power outages.

And last July the UK’s National Cyber Security Centre (NCSC) acknowledged it was investigating a broad wave of attacks on companies in the British energy and manufacturing sectors.

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U.S. Electricity Demand Decoupling signals GDP growth without higher load, driven by energy efficiency, LED adoption, services-led output, and rising renewables integration with the grid, plus EV charging and battery storage supporting decarbonization.

Key Points

GDP grows as electricity use stays flat, driven by efficiency, renewables, and a shift toward services and output.

✅ LEDs and codes cut residential and commercial load intensity.

✅ Wind, solar, and gas gain share as coal and nuclear struggle.

✅ EVs and storage can grow load and enable grid decarbonization.

By Justin Fox

Economic growth picked up a little in the U.S. in 2017. But electricity use fell, with electricity sales projections continuing to decline, according to data released recently by the Energy Information Administration. It's now been basically flat for more than a decade:

Measured on a per-capita basis, electricity use is in clear decline, and is already back to the levels of the mid-1990s.

Sources: U.S. Energy Information Administration, U.S. Bureau of Economic Analysis

*Includes small-scale solar generation from 2014 onward

I constructed these charts to go all the way back to 1949 in part because I can (that's how far back the EIA data series goes) but also because it makes clear what a momentous change this is. Electricity use rose and rose and rose and then ... it didn't anymore.

Slower economic growth since 2007 has been part of the reason, but the 2017 numbers make clear that higher gross domestic product no longer necessarily requires more electricity, although the Iron Law of Climate is often cited to suggest rising energy use with economic growth. I wrote a column last year about this big shift, and there's not a whole lot new to say about what's causing it: mainly increased energy efficiency (driven to a remarkable extent by the rise of LED light bulbs), and the continuing migration of economic activity away from making tangible things and toward providing services and virtual products such as games and binge-watchable TV series (that are themselves consumed on ever-more-energy-efficient electronic devices).

What's worth going over, though, is what this means for those in the business of generating electricity. The Donald Trump administration has made saving coal-fired electric plants a big priority; the struggles of nuclear power plants have sparked concern from multiple quarters. Meanwhile, U.S. natural gas production has grown by more than 40 percent since 2007, thanks to hydraulic fracturing and other new drilling techniques, while wind and solar generation keep making big gains in cost and market share. And this is all happening within the context of a no-growth electricity market.

In China, a mystery in China's electricity data has complicated global comparisons.

Here are the five main sources of electric power in the U.S.:

The big story over the past decade has been coal and natural gas trading places as the top fuel for electricity generation. Over the past year and a half coal regained some of that lost ground as natural gas prices rose from the lows of early 2016. But with overall electricity use flat and production from wind and solar on the rise, that hasn't translated into big increases in coal generation overall.

Oh, and about solar. It's only a major factor in a few states (California especially), so it doesn't make the top five. But it's definitely on the rise.

What happens next? For power generators, the best bet for breaking out of the current no-growth pattern is to electrify more of the U.S. economy, especially transportation. A big part of the attraction of electric cars and trucks for policy-makers and others is their potential to be emissions-free. But they're only really emissions-free if the electricity used to charge them is generated in an emissions-free manner -- creating a pretty strong business case for continuing "decarbonization" of the electric industry. It's conceivable that electric car batteries could even assist in that decarbonization by storing the intermittent power generated by wind and solar and delivering it back onto the grid when needed.

I don't know exactly how all this will play out. Nobody does. But the business of generating electricity isn't going back to its pre-2008 normal. 

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Synchrophasors deliver PMU-based, real-time monitoring for the smart grid, helping NYISO prevent blackouts, cut costs, and integrate renewables, with DOE-backed deployments boosting reliability, situational awareness, and data sharing across regional partners.

Key Points

Synchrophasors, or PMUs, are grid sensors that measure synced voltage, current, and frequency to enhance reliability.

✅ Real-time grid visibility and situational awareness

✅ Early fault detection to prevent cascading outages

✅ Supports renewable integration and lowers operating costs

Have you ever heard of a synchrophasor? It may sound like a word out of science fiction, but these mailbox-sized devices are already changing the electrical grid as we know it.

The grid was born over a century ago, at a time when our needs were simpler and our demand much lower. More complex needs are putting a heavy strain on the aging infrastructure, which is why we need to innovate and update our grid with investments in a smarter electricity infrastructure so it’s ready for the demands of today.

That’s where synchrophasors come in.

A synchrophasor is a sophisticated monitoring device that can measure the instantaneous voltage, current and frequency at specific locations on the grid. This gives operators a near-real-time picture of what is happening on the system, including insights into power grid vulnerabilities that allow them to make decisions to prevent power outages.

Just yesterday I attended the dedication of the New York Independent System Operator's smart grid control center, a $75 million project that will use these devices to locate grid problems at an early stage and share these data with their regional partners. This should mean fewer blackouts for the State of New York. I would like to congratulate NYISO for being a technology leader.

And not only will these synchrophasors help prevent outages, but they also save money. By providing more accurate and timely data on system limits, synchrophasors make the grid more reliable and efficient, thereby reducing planning and operations costs and addressing grid modernization affordability concerns for utilities.

The Department has worked with utilities across the country to increase the number of synchrophasors five-fold -- from less than 200 in 2009 to over 1,700 today. And this is just a part of our commitment to making a smarter, more resilient grid a reality, reinforced by grid improvement funding from DOE.

In September 2013, the US Department of Energy announced up to $9 million in funding to facilitate rapid response to unusual grid conditions. As a result, utilities will be able to better detect and head off potential blackouts, while improving day-to-day grid reliability and helping with the integration of solar into the grid and other clean renewable sources.

If you’d like to learn more about our investments in the smart grid and how they are improving our electrical infrastructure, please visit the Office of Electricity Delivery and Energy Reliability’s www.smartgrid.gov.

Patricia Hoffman is Assistant Secretary, Office of Electricity Delivery & Energy Reliability

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Sault Ste. Marie Smart Grid Investment upgrades PUC Distribution infrastructure with federal funding, clean energy tech, outage reduction, customer insights, and reliability gains, creating 140 jobs and attracting industry to a resilient, efficient grid.

Key Points

A federally funded PUC Distribution project to modernize the citywide grid, cut outages, boost efficiency, and create jobs.

✅ $11.8M federal funding to PUC Distribution

✅ Citywide smart grid cuts outages and energy loss

✅ 140 jobs; attracts clean tech and industry

PUC Distribution Inc. in Sault Ste. Marie is receiving $11.8 million from the federal government to invest in infrastructure, as utilities nationwide have faced pandemic-related losses that underscore the need for resilient systems.

The MP for the riding, Terry Sheehan, made the announcement on Monday.

The money will go to the utility's smart grid project, where technologies like a centralized SCADA system can enhance situational awareness and control.

"This smart grid project offers a glimpse into our clean energy future and represents a new wave of economic activity for the region," Sheehan said.

"Along with job creation, new industries will be attracted to a modern grid, supported by stable electricity pricing that helps competitiveness, all while helping the environment."

His office says the investment will allow the utility to reduce outages, provide more information to customers to help make smarter electricity use choices, aligned with Ontario's energy-efficiency programs that encourage conservation, and offer more services.

"This is an innovative project that makes Sault Ste. Marie a leader," mayor Christian Provenzano said.

"We will be the first city in our country to implement a community-wide smart grid. Once it is complete, the smart grid will make our energy infrastructure more reliable, reduce energy loss and lead to a more innovative economy for our community."

The project will also create 140 new jobs.

"As a community-focused utility, we are always looking for innovative ways to help our customers save money amid concerns about hydro disconnections during winter, and reduce their carbon footprint," Rob Brewster, president and CEO of PUC Distribution said.

"The investment the government has made in our community will not only help modernize our city's electrical distribution system [as] once the project is complete, Sault Ste. Marie will have access to an electricity grid that can handle the growing demands of a city in the 21st century."

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FPL Hurricane Surcharge explained: restoration costs, Florida PSC review, rate impacts, grid resilience, and transparency after Hurricanes Debby and Helene as FPL funds infrastructure hardening and rapid storm recovery across Florida.

Key Points

A fee by Florida Power & Light to recoup hurricane restoration costs, under Florida PSC review for consumer fairness.

✅ Funds Debby and Helene restoration, materials, and crews

✅ Reviewed by Florida PSC for consumer protection and fairness

✅ Raises questions on grid resilience, transparency, and renewables

In the aftermath of recent hurricanes, Florida Power & Light (FPL) is under scrutiny as it implements a rate surcharge, alongside proposed rate hikes that span multiple years, to help cover the costs of restoration and recovery efforts. The surcharges, attributed to Hurricanes Debby and Helene, have stirred significant debate among consumers and state regulators, highlighting the ongoing challenges of hurricane preparedness and response in the Sunshine State.

Hurricanes are a regular threat in Florida, and FPL, as the state's largest utility provider, plays a critical role in restoring power and services after such events. However, the financial implications of these natural disasters often leave residents questioning the fairness and necessity of additional charges on their monthly bills. The newly proposed surcharge, which is expected to affect millions of customers, has ignited discussions about the adequacy of the company’s infrastructure investments and its responsibility in disaster recovery.

FPL’s decision to implement a surcharge comes as the company faces rising operational costs due to extensive damage caused by the hurricanes. Restoration efforts are not only labor-intensive but also require significant investment in materials and equipment to restore power swiftly and efficiently. With the added pressures of increased demand for electricity during peak hurricane seasons, utilities like FPL must navigate complex financial landscapes, similar to Snohomish PUD's weather-related rate hikes seen in other regions, while ensuring reliable service.

Consumer advocacy groups have raised concerns over the timing and justification for the surcharge. Many argue that frequent rate increases following natural disasters can strain already financially burdened households, echoing pandemic-related shutoff concerns raised during COVID that heightened energy insecurity. Florida residents are already facing inflationary pressures and rising living costs, making additional surcharges particularly difficult for many to absorb. Critics assert that utility companies should prioritize transparency and accountability, especially when it comes to costs incurred during emergencies.

The Florida Public Service Commission (PSC), which regulates utility rates and services, even as California regulators face calls for action amid soaring bills elsewhere, is tasked with reviewing the surcharge proposal. The commission’s role is crucial in determining whether the surcharge is justified and in line with the interests of consumers. As part of this process, stakeholders—including FPL, consumer advocacy groups, and the general public—will have the opportunity to voice their opinions and concerns. This input is essential in ensuring that the commission makes an informed decision that balances the utility’s financial needs with consumer protection.

In recent years, FPL has invested heavily in strengthening its infrastructure to better withstand hurricane impacts. These investments include hardening power lines, enhancing grid resilience, and implementing advanced technologies for quicker recovery, with public outage prevention tips also promoted to enhance preparedness. However, as storms become increasingly severe due to climate change, the question arises: are these measures sufficient? Critics argue that more proactive measures are needed to mitigate the impacts of future storms and reduce the reliance on post-disaster rate increases.

Additionally, the conversation around climate resilience is becoming increasingly prominent in discussions about energy policy in Florida. As extreme weather events grow more common, utilities are under pressure to innovate and adapt their systems. Some experts suggest that FPL and other utilities should explore alternative strategies, such as investing in decentralized energy resources like solar and battery storage, even as Florida declined federal solar incentives that could accelerate adoption, which could provide more reliable service during outages and reduce the overall strain on the grid.

The issue of rate surcharges also highlights a broader conversation about the energy landscape in Florida. With a growing emphasis on renewable energy and sustainability, consumers are becoming more aware of the environmental impacts of their energy choices, and some recall a one-time Gulf Power bill decrease as an example of short-term relief. This shift in consumer awareness may push utilities like FPL to reevaluate their business models and explore more sustainable practices that align with the public’s evolving expectations.

As FPL navigates the complexities of hurricane recovery and financial sustainability, the impending surcharge serves as a reminder of the ongoing challenges faced by utility providers in a climate-volatile world. While the need for recovery funding is undeniable, the manner in which it is implemented and communicated will be crucial in maintaining public trust and ensuring fair treatment of consumers. As discussions unfold in the coming weeks, all eyes will be on the PSC’s decision and FPL’s approach to balancing recovery efforts with consumer affordability.

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