The fight over AI data centres is becoming Australia’s next Indigenous policy challenge
Decisions made now could shape Indigenous relations with the government around AI for years to come.
In July 2026, over 200 Aboriginal community members gathered at Mandoon Bilya, near Perth, to plant over 3,000 native plants as part of a wetland restoration project. This contrasted sharply with the site's previous proposal as the location for one of Australia's largest hyperscale AI data centres. Aboriginal groups, environmental activists, and local community groups successfully opposed the development, leading to its cancellation in May 2026.
The restored area is now focused on ecological restoration and protecting Indigenous land, known as Country. The Mandoon Bilya opposition, however, is a broader policy challenge. As AI demand for new facilities increases, data centres are expected to proliferate across Australia, raising urgent policy questions. While policymakers have focused on regulating AI technologies, Aboriginal communities have had little say in AI infrastructure planning.
Decisions now could significantly impact Indigenous relations with the government regarding AI for years to come.
Written by urgent.news from The Conversation AU's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
