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The Missing Half of Canada’s AI Strategy

7 0
21.07.2026

The nurse from my last article, the one who moved from Halifax to Calgary and had to re-prove her identity, licence, and health coverage to four separate systems, offers a useful test for an AI assistant.

AI could guide her through Alberta’s forms, retrieve information, and compare records. It could not legitimately determine which record Alberta may treat as authoritative. That question belongs to law and institutional mandate, not model capability.

In two earlier articles, I argued that Canada measures digital government against the wrong model and needs a digital public infrastructure agenda suited to a federation. The next question is more specific: what infrastructure would allow information to move lawfully between institutions without creating a single national database?

Canada needs a pan-Canadian federated data exchange through which authorised institutions can confirm facts, such as income, residency, identity, or licence status, while records remain with the institutions responsible for them.

That ecosystem requires three connected capabilities. Identity and assurance establish confidence in the people, organisations, systems, and credentials involved, proportionate to the transaction’s risk. Trusted exchange transmits verified information securely. Trusted governance determines which sources are authoritative, who may request information, for what purpose, and with what accountability and redress.

For the nurse, this does not require a mandatory national digital ID or universal identifier. Canadians already establish identity in different ways, such as presenting a driver’s licence in person, using an existing government account, or presenting a passport or professional credential. The method should match the transaction’s risk. Alberta needs sufficient assurance that the applicant is the person named in the Nova Scotia record, that the regulator is genuine, and that the credential has not been altered. Non-digital routes must remain available.

The exchange only works within a broader operating model: one that identifies authoritative sources, assigns decision rights, defines lawful purposes, sets proportionate assurance requirements, and provides correction, redress, and accountability. The Pan-Canadian Trust Framework (PCTF) can provide part of the identity and assurance foundation. The objective is not one national digital identity, one government-owned credential, or digital-only access.

An authorised service would request only the verified information required for a specific transaction. The record would remain at its source, and each request would be authenticated, logged, and auditable. The answer could move directly between institutions or be presented by the individual as a verifiable credential.

AI Is Only as Reliable as the Data Operating Model Beneath It

Canada’s new national AI strategy, AI for All, launched on 4 June 2026, emphasises adoption, commercialisation, talent, trusted partnerships, sovereign compute, and public-service transformation. These are necessary investments. They are not sufficient.

Canada does not have a shortage of government data. It has a data operating model problem.

Much of the necessary information already exists. What institutions lack is a shared operating model for determining which information is authoritative, when it may move, how its provenance is preserved, and who remains accountable for its use. Alberta should not need to ask a nurse to re-prove what Nova Scotia already knows, but it also cannot retrieve that information without agreed authority, assurance, and exchange rules.

The federal government recognises parts of this problem. Its 2023–2026 Data Strategy for the Federal Public Service treats data as a strategic asset and calls for interoperability, stewardship, and reuse. The limitation is not the strategy’s intent. It is that most data initiatives still operate within organisational, sectoral, or jurisdictional boundaries.

Health care illustrates the difference between digitisation and governed exchange. In February 2026, Ottawa introduced Bill S-5, the Connected Care for Canadians Act, which would require digital health vendors to meet common interoperability standards and prohibit data blocking. The legislation responds to a real problem: only 29 per cent of Canadian health-care providers shared patient information electronically outside their own........

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