Why these big new AI data centres are set to escape new regulations
Dozens of approved but yet-to-be-built AI data centre projects will escape the federal government's proposed restrictions around energy and water use because the new rules are not expected to be retrospective.
Dozens of AI data centre projects currently under planning will avoid new federal regulations regarding energy and water consumption, as the rules are not considered retrospective. The Australian government plans to introduce these standards by early 2027, aiming to address community concerns about the environmental impact while attracting major tech investments.
The upcoming projects include developments from Amazon Web Services, Microsoft, AirTrunk, CDC, and NEXTDC, along with property groups Goodman and Stockland. The combined capacity of the approved but unbuilt data centres is estimated to be at least 2.9 gigawatts, based on the companies' self-reported computing power and state-planning-approved energy capacity.
While not subject to the new regulations, one project, Goodman's five-story data centre in Sydney, has already received conditional approval from the NSW government regarding water and energy use. The expansion of data centres is primarily occurring in western Sydney and Melbourne's outskirts, with some developers targeting regional locations.
However, not all of the approved projects will be built. Environmental groups and some residents have raised concerns about the potential environmental and ecological impacts of these developments, while the federal government emphasizes the need for sustainable investment in AI while allowing flexibility for already-approved projects.
Written by urgent.news from ABC News AU's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
